The RBI governor defended his protracted rate pause and lengthy accommodative stance as a compulsion brought by the pandemic
'There is no blanket ban on opening of current accounts', said M Rajeshwar Rao
The Governor clearly stated that the RBI remains in 'whatever it takes' mode, referring to the desire to support the fledgling recovery
While it termed current inflation as transitory, MPC also expects it to edge up to near-6% levels towards 2021-22 end, highlighting stickiness of inflation in uneven economic recovery
RBI extended the on-tap targeted long term repo operations (TLTRO) scheme till December 31
Bankers said this move comes as a support to stressed firms from sectors like tourism, real estate, hospitality and others hit badly by second wave
Stock market LIVE: The RBI pegged real GDP growth forecast for FY22 at 9.5 per cent and at 17.2 per cent for FY23.
Overall RBI monetary policy was on expected lines and the policy statement highlighted its commitment to do whatever it takes to ensure financial stability
Live updates: Monetary policy committee's decisions being read out by RBI governor Shaktikanta Das
The temporary supply shocks that have led to higher inflation has been kept aside by the MPC while focusing on growth
The consensus earnings for the current fiscal (FY22) are projected to grow by an outsized 35-40 per cent on the back of a relatively weak earnings profile in the previous year, he said
An accommodative stance on monetary policy (unchanged since June'19), in the face of an unfavourable growth-inflation trade-off is understandable for now
While industry executives feel that there will be no shortfall in consumer demand in the near future, most are wary of the near-term challenges
Retail inflation came at 6.30 per cent in May, and 6.26 per cent in June -- both above the upper limit of the RBI's target
This is a different strategy than what played out until last month, where the central bank seemed more focused on keeping the 10-year bond yields at 6%
The Nifty IT index is one of the strongest indexes market at the current juncture, technical charts suggest
The nation's NSE Nifty 50 Index is among Asia's top gainers this month, beating the regional benchmark by about 4 percentage points
Central bank seeks to keep the government's borrowing costs low, while investors are demanding higher yields.
Limited headroom for yields to decline further, says rating agency
The inflation shock is adding to uncertainty on whether the central bank would stick to its pledge of keeping policy accommodative to support growth after economy was battered by a deadly Covid wave