Reserve Bank of India Interest Rates Unchanged
The RBI – Reserve Bank of India, in its latest monetary policy kept benchmark repurchase rate unchanged at 4 percent while the Reverse repo rate stands at 3.35%. MSF rate unchanged at 4.25% and the Bank rate also unchanged and maintained accommodative policy stance to support growth.
The RBI on Wednesday 7th April 2021, expectedly left interest rates unchanged and maintained an accommodative stance as the economy faces a renewed threat to growth due to the resurgence of coronavirus cases.
RBI Governor Shaktikanta Das said that the MPC – Monetary Policy Committee kept its estimate for economic growth unchanged at 10.5 per cent for the current fiscal.
MPC saw Inflation is projected at 5% in Q4 of FY 2021 and 5.2% in first half of FY2022 before coming down to 4.4% in Q3 and 5.1% in Q4. The India’s GDP growth is projected at 10.5% in Financial Year of 2021-22.
Shaktikanta Das said that there has been some respite from the incidence of domestic taxes on petroleum products through coordinated actions by the Central and states could give relief on top of the recent easing of the international crude prices.
He said, However, the combination of international commodity prices and the logistics price may push up input price pressures across manufacturing and services.