RBI retained its GDP growth projection for 2018-19 at 7.4%
The six-member Monetary Policy Committee (MPC) kept its stance neutral, despite a repo rate increase
Nifty PSU Bank (up 2%), Nifty Realty (1.4%) and Nifty Auto (up 1.5%) were up more than 1% as compared to 0.88% rise in Nifty 50 index at 02:57 pm.
He said that a big inflation uptick seems to be improbable
There are many worrying factors such as oil prices, volatile currency, large-scale selling by foreign portfolio investors, falling reserves and inflationary expectations
Recent developments suggest tighter monetary policy is inevitable; the question is one of quantum and timing
Foreign institutional investors (FIIs) have pulled out roughly $6.6 billion since April and the rupee has depreciated the most in the Asia ex-Japan (AXJ) region
The least the analysts, or the markets, expect is any discrepancy between the policy statement of the RBI and the subsequent minutes
Reserve Bank of India hasn't tinkered with rates since August, and even cut inflation projections last month, raising expectations that borrowing costs would remain on hold
In the first bi-monthly monetary policy for 2018-19, the central bank left the repo rate unchanged at 6%
Chief Economist of Yes Bank Shubhada Rao said, "Cut inflation forecast is sizeable, and is being done for what's seem as peak period."
Reserve Bank of India has maintained the status-quo on the key short-term borrowing rate (repo) in its last three policy meets
Currently, the key rate at which the RBI lends to banks is 6%
One reason why SBI had to raise rates so frequently is the rapid rise in bond yields
RBI last month scrapped numerous loan restructuring programmes including Corporate Debt Restructuring, Sustainable Structuring of Stressed Assets or S4A, Strategic Debt Restructuring
The six-member Monetary Policy Committee (MPC), headed by RBI Governor Urjit Patel, is to meet on April 4 and 5 to decide the first bi-monthly monetary policy of the next fiscal
RBI Governor Urjit Patel said, 'Monetary policy has become much more flexible in terms of responding to inflation risks'
Five Monetary Policy Committee members vote in favour of status quo; one votes for 0.25% rise
It is obvious RBI is unhappy not only with fiscal slippage but also with the potential of further slippages via higher MSPs
Urjit Patel said, 'Our projections indicate there may be a slight rise in inflation this quarter but during 2018-19, it will remain around 4.5%'