Page 2 - Rbi Monetary Policy

Forex reserve at healthy $682 bn, enough for 11 months of imports: RBI Guv

Reserve Bank Governor Sanjay Malhotra on Friday said the forex reserve stood at a healthy USD 682.3 billion, adequate to provide import cover for about 11 months. Various policy initiatives are expected to strengthen the balance of payments, he said while announcing the second bi-monthly monetary policy for the current fiscal. The initiatives include the recent agreements with major trading partners, allowing 100 per cent FDI in the insurance sector, ethanol blending programme, push for energy transition, easing FDI restrictions for land-bordering countries, liberalisation of the ECB framework, and several others, he said. "As of May 29, 2026, India's foreign exchange reserves stood at a healthy USD 682.3 billion, adequate in terms of the standard metrics of reserve adequacy, including import cover (for about 11 months) and external debt (89.1 per cent)," he said. "While our foreign exchange reserves provide a strong buffer against external shocks, we have a broad range of regulato

Central bank preparing for external stress, a theme to prevail in FY27

It is the behaviour of a central bank preparing for a period of external stress, said Sujan Hajra, chief economist and executive director, Anand Rathi Group

Higher FY27 inflation target signals rate hikes to come later: Vijayakumar

The June monetary policy is a bold statement that addresses the present macro concerns even while striving to keep the resilient growth of the economy intact, says VK Vijayakumar

Rate sensitive shares trade mixed post RBI policy; NBFC's rally up to 4%

Bajaj Finance, Shriram Finance, Cholamandalam Investment, REC and Power Finance Corporation were up between 2.5 per cent 4 per cent in intra-day deals on Friday.

RBI eyes rupee management via FII tax relief on govt. securities: Analysts

FIIs are subjected to a 12.5 per cent LTCG on listed shares and bonds held for over 12-months, and a 20 per cent withholding tax on interest from government bonds

RBI deems monsoon major domestic risk: Key takeaways from June MPC decision

Keeping rates on hold, the RBI flagged concerns over fuel-led inflation, supply-chain disruptions and a weak monsoon while projecting GDP growth of 6.6 per cent for FY27

RBI MPC meet: Inflation for FY27 pegged at 5.1%, GDP growth at 6.6%

RBI MPC June: The policy committee kept the repo rate unchanged at 5.25 per cent, and the committee maintained its 'neutral' stance

RBI MPC keeps repo rate unchanged at 5.25%, maintains 'neutral' stance

RBI MPC June meeting: In its policy meeting, which took place between June 3-5, the committee continued with the 'neutral' stance

RBI June MPC decision: When and where to watch Guv Malhotra's address

The Reserve Bank of India's monetary policy committee will decide on the repo rate and announce inflation projections as well on June 5

RBI MPC meet: Amid inflation, growth concerns, rate hike can wait for now

Inflation will rise in the second half of the year. Growth, too, will falter. It's time to explore other options

RBI MPC meet: Status quo on rates likely as West Asia crisis deepens

After three days of deliberations, the six-member Monetary Policy Committee (MPC), headed by RBI Governor Sanjay Malhotra, will announce its decision on June 5

Is India's inflation targeting too rigid for this oil-shock climate?

A credible framework requires credible measures of price expectations

Rate hike in CY26? Why SBI MF's Rajeev Radhakrishnan thinks tide could turn

Radhakrishnan said a persistent supply shock accompanied by a weaker currency can negatively impact inflation and fiscal direction, given the likelihood of higher subsidy requirements

'Growth-inflation tradeoff likely to have shifted adversely for near term'

RBI MPC member flags adverse shift in growth-inflation balance, warns of rising policy risks amid global uncertainty and persistent inflation expectations

The West Asia Challenge: Govt must revisit its macroeconomic assumptions

West Asia tensions threaten India's fiscal balance, growth outlook, and external stability, forcing a rethink of macroeconomic assumptions

RBI goes for extended pause before rate hike amid rising uncertainties

RBI holds rates and signals a prolonged pause, balancing strong domestic fundamentals against rising global risks and persistent uncertainty

RBI plans to rationalise board norms, shift focus to strategy, policy

RBI plans to revise board norms to reduce compliance burden and enable bank boards to focus more on strategy and policy, amid feedback from industry stakeholders

RBI's MPC avoids knee-jerk reaction, preserves policy flexibility

Even though external conditions pose a significant risk, the RBI pointed out that the pause was also cushioned by resilient momentum in domestic activity across manufacturing and services

'Quite possible that rates will remain low in the near to medium term'

RBI signals policy flexibility amid uncertainty, with stable growth outlook, no rate path commitment, and confidence in inflation control and financial stability

RBI opens term money market to NBFCs, corporates to boost liquidity

RBI allows NBFCs, corporates and AIFIs to participate in term money market to deepen liquidity, improve price discovery and strengthen policy transmission