CA Sansaar
RBI reduces repo rate by 25 bps; ₹1 lakh crore OMO purchase planned to boost liquidity
Print
The Reserve Bank of India’s Monetary Policy Committee has reduced the repo rate by 25 basis points with immediate effect, while keeping its stance “Neutral.” To increase liquidity in the system, the Government will conduct Open Market Operations (OMO) worth ₹1 lakh crore and a 3-year dollar–rupee buy-sell swap of $5 billion in December.
RBI Governor said that the Indian economy has experienced strong deflationary trends since the October policy. He described the current situation as a “Goldilocks” phase, with Q2 GDP growth at 8.2% and inflation at very low levels.
He also stated that the balance between growth and inflation—both headline and core—continues to give enough room for policies that support economic growth.
RBI Governor said that the Indian economy has experienced strong deflationary trends since the October policy. He described the current situation as a “Goldilocks” phase, with Q2 GDP growth at 8.2% and inflation at very low levels.
He also stated that the balance between growth and inflation—both headline and core—continues to give enough room for policies that support economic growth.
Category : RBI | Comments : 0 | Hits : 379
Comments