Page 11 - Monetary Policy Committee

Time to avoid the 'last hike'

One feels that arguments in favour of a pause in April are strong

Unfinished battle

RBI will need to do more to contain inflation

April 6 policy, a close call

If RBI goes for a hike, it could change the stance from withdrawal of accommodation to neutral, signalling end of cycle. If not, the stance can remain unchanged as tight liquidity will serve purpose

MPC should raise rates by 25 bps next week: Economists tell RBI

Current dynamics warrant hike, but central bank should keep liquidity stance flexible

Inflation-growth dynamics may enhance dilemma of monetary policy committee

Many believe that the committee may go for another 25 basis point hike in repo at the April policy

Inflation expected to come down over the year: RBI MPC member Ashima Goyal

Inflation is expected to come down over the year, RBI Monetary Policy Committee (MPC) member Ashima Goyal said on Sunday, asserting that the government's supply-side action coordinated with a flexible inflation-targeting regime has kept the rate of price rise lower than that in other countries. Goyal said that India has successfully dealt with 'pluri-shocks' over the past three years, showing considerable resilience. "Inflation rates are expected to come down over the year. "Government supply-side action coordinated with a flexible inflation targeting regime has kept Indian inflation rates lower than other countries and our own past averages even in this period of major adverse external supply shocks," she told PTI in a telephonic interview. She was asked whether high inflation become the norm in India. "Since nominal policy rates rise with inflation to maintain an expected real positive rate under inflation targeting this prevents demand over-heating and anchors inflation ...

Core inflation must ease towards 4%, says RBI MPC's Shashanka Bhide

"High core inflation also points to the cost-price nexus in the economy more sharply," Bhide said, adding that stabilizing core prices was necessary for manufacturing firms to expand their capacities

India's economic growth appears to be very fragile: RBI MPC member Varma

India's economic growth appears to be 'very fragile' and it may fall short of what the country needs to meet the aspirations of its growing workforce, RBI Monetary Policy Committee (MPC) member Jayanth R Varma said on Sunday. In India, Varma said he expects inflation to remain high in 2022-23 but come down significantly in 2023-24. "However, growth appears to be very fragile, and monetary tightening is compressing demand," he told PTI. Explaining further, he said rising EMI payments increases the pressure on household budgets and dampens spending, and exports are struggling in the face of global factors. While noting that high interest rates make private capital investment more difficult, Varma said the government is in fiscal consolidation mode, thus reducing the support to the economy from this source. "Because of all these factors, I fear that growth may fall short of what we need to meet the aspirations of our growing workforce given our demographic context and income level,"

Further tightening could push growth down to 5%: MPC member Ashima Goyal

Continuing to raise nominal repo rates until core inflation falls could imply an overshooting or excess tightening of real rates, says the MPC member in an interview with Business Standard

Pass-through of fall in commodity prices not clear: RBI MPC's Bhide

'In the past two meetings, the size of the rate increases have come down'

Real interest rate of about 1% appropriate for Indian economy: Ashima Goyal

"You don't need to keep on raising nominal rates as long as inflation does not come down because then you will definitely overshoot in terms of real rates," Goyal said

Monetary policy stance must remain disinflationary, says RBI report

Says GDP growth will receive 15 bps boost from tax cuts

SBI loans to get costlier as bank hikes key lending rate; Details here

Following the RBI MPC's repo rate hike earlier this month, many banks like Bank of Baroda, Bank of India, and Punjab National Bank have also hiked their key lending rates

MPC meet: No change in stance, RBI hints at more policy rate hikes

Policy rate increased by 25 bps to a 4-year high of 6.5%

Moderation of pace of rate hikes gives RBI room to assess impact: Das

Central bank management speaks to the media about inflation, economy and government borrowing

RBI to launch pilot project for QR-based coin vending machines in 12 cities

These vending machines will dispense coins against a debit to the customer's account. The process will use Unified Payments Interface (UPI) instead of physical tendering of notes

RBI MPC increases repo rate by 25 bps, pegs FY24 inflation at 5.3%

Need to see decisive decline in inflation, core inflation still sticky, says RBI governor

RBI MPC: When and where to watch policy announcement by Shaktikanta Das

RBI monetary policy: In December, Das had said that despite consecutive rate hikes, core inflation had continued to remain 'sticky'

RBI Monetary Policy: One last rate hike now but signaling close to the peak

Inflation remains sticky and most G-10 central banks may in any case, continue with rate hikes; given India's resilient growth momentum, the MPC might increase the repo rate one final time

Monetary policy making: 2022 was year of reset, 2023 could be a long pause

25 bps raise likely in Feb, before RBI hits status quo button, feel experts