In its MPC decision on April 8, even if RBI holds rates, markets will track crude, rupee, yields, liquidity and intervention signals to gauge stress from oil volatility and external risks
RBI now faces a dilemma over whether to raise interest rates to support the currency or keep borrowing costs low to cushion economic growth
The Reserve Bank's rate-setting panel on Monday started its three-day brainstorming session on the first bi-monthly monetary policy of the fiscal amid expectations of a status quo on the benchmark lending rate in view of apprehensions of a spike in inflation due to ongoing West Asia crisis. The decision of the six-member Monetary Policy Committee (MPC), headed by Reserve Bank Governor Sanjay Malhotra, will be announced on Wednesday. The RBI has cut rates by a total of 125 basis points since February 2025, marking its most aggressive easing cycle since 2019. It last reduced the rate by 25 basis points in December and maintained status in its last meeting in February. According to experts, the MPC members will take into account the continuing geopolitical tensions in West Asia, volatility in commodity prices and sharp currency movement hitting the value of the domestic currency. They noted that while retail inflation has moved closer to the RBI's medium-term target of 4 per cent, the
FY27 growth projection seen 6.5-7%; Inflation 4-4.9%
The Reserve Bank is likely to keep the benchmark policy repo rate unchanged at 5.25 per cent in the April monetary policy review meeting, as the West Asia crisis is likely to push up inflation, according to economists. The continuing geopolitical tensions in West Asia, volatility in commodity prices and sharp currency movement that have seen the rupee hit record lows have complicated the policy outlook, and its projections on growth, inflation and also the stance of policy will be keenly watched, the poll of over a dozen economists said. "Given the uncertainty around crude oil prices and geopolitical developments, the RBI is likely to remain on pause in the April policy and closely monitor incoming inflation data before taking any further action," said Aditi Nayar, Chief Economist at ICRA. SBI's chief economist Soumya Kanti Ghosh said while announcing the pause, the RBI will be careful in communicating its decision. "India is not unscathed from the current crisis and is feeling the
From Sebi's governance gaps and inflation targeting to investor protection concerns, AI-led consumer insights, and evolving global discourse, today's BS Opinion offers sharp perspectives
RBI MPC members signalled support for growth as minutes from the February meeting showed confidence in a benign inflation outlook, with most seeing room to sustain an accommodative policy bias
The RBI's MPC held rates steady, citing improved growth and benign inflation, while announcing regulatory steps to boost credit flow and strengthen digital payment safety
The RBI has removed the Rs 2.5-trillion investment cap under the voluntary retention route for FPIs to deepen bond markets, enhance capital flow stability and encourage long-term foreign participation
Sensex Today | Stock Market Highlights, Friday: Among the broader markets, the Nifty Midcap 100 and the Smallcap 100 indices were 0.02 per cent and 0.27 per cent down, respectively
Under a proposed one-time framework, RBI plans to compensate customers for small-value digital frauds up to Rs 25,000, with the central bank and banks sharing the cost
The central bank proposed draft rules to curb mis-selling, cap losses from unauthorised digital transactions and tighten recovery practices as part of a wider push to strengthen customer protection
The country's holdings of long-term US debt had dropped to a five-year low of $174 billion as of November, down 26 per cent from a 2023 peak, according to US government data
The RBI MPC, led by governor Sanjay Malhotra, on Friday, announced to keep the repo rate unchanged at 5.25 per cent
RBI MPC: The Reserve Bank of India unveiled plans to protect bank customers, curb digital fraud, ease loan rules for MSMEs, and simplify norms for banks, UCBs and NBFCs
The POC stressed that excluding precious metals, underlying inflation pressures were muted and that barring volatility on account of gold and silver, core inflation was expected to remain range-bound
Malhotra also said that there is no reduction in the central bank's holdings of US treasuries
The Monetary Policy Committee decided to keep the repo rate unchanged at 5.25 per cent in its February meeting
The 10-year benchmark yield rose to 6.69 per cent after the MPC held rates steady and the RBI refrained from announcing fresh OMOs, despite market expectations
Reserve Bank of India Governor Sanjay Malhotra said India's economy remains on a strong footing despite global challenges, helped by stable inflation and steady growth