RBI Monetary Policy: The Reserve Bank of India (RBI) has not made any change in the policy rates i.e. repo rate. Policy interest rates will remain at 6.50 percent.
RBI Policy: Reserve Bank of India (RBI) has not made any change in the policy rates i.e. repo rate. RBI Governor Shaktikanta Das announced the policy rate after the meeting of the Monetary Policy Committee. He said that the repo rate has not been cut, hence the policy interest rates will remain at 6.50 percent.
The Monetary Policy Committee (MPC) led by the Reserve Bank of India (RBI) kept the repo at 6.5%. This is the sixth consecutive time that the central bank has not made any change in interest rates. The Monetary Policy Committee of RBI meets every two months. Even in the previous December meeting, RBI had not increased or cut the repo rate.
Inflation has come down.
RBI Governor said that due to the efforts of the government and the Central Bank, the inflation rate has come down. RBI has estimated retail inflation to be 5.4 percent for the current financial year, 4.5 percent for 2024-25. Real GDP growth estimate for financial year 2024 will be 7 percent. Earlier, experts had predicted that the Central Bank would hardly make any change in the policy rate in monetary policy, because retail inflation is still close to the upper level of the satisfactory range. The Reserve Bank has kept the repo rate stable at 6.5 percent for almost a year. It was last increased from 6.25 percent to 6.5 percent in February 2023.
What will be the impact on FD and bank loans?
Due to interest rates remaining stable at 6.50 percent, there will be no change in the interest on loans and savings schemes received from banks. Banks and NBFCs increase and reduce interest rates based on the benchmark rate of RBI.
