RBI-highlights: Monetary policy review

Tags: News
Following are the highlights of RBI monetary policy review:

* Short-term lending (Repo) rate unchanged at 8 pc.

* Cash reserve ratio (CRR) too unchanged at 4 pc.

* No rate hike if inflation continues to trend lower.

* Economic growth for 2014-15 expected at 5.5 pc.

* CAD expected to come down to 2 pc of GDP in 2014-15.

* Retail inflation expected to be under 6 pc in 2014.

* RBI asks banks not to charge penalty for failure to maintain minimum balance in inoperative account.

* Approval of new bank licences after consulting EC.

* RBI open to banking mergers, provided competition and stability are not compromised.

* Industrial activity continues to be a drag on economy.

* RBI will strive to increase reach of financial services to everyone by using technology and new products.

* Stress on priority sector lending for greater financial access.

* Today's was first bi-monthly monetary policy review, next one scheduled for June 3.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Child abuse needs to be tackled with the seriousness it deserves

    The Bangalore rape case has again brought into focus an issue we Indians forever shy away from facing up to — child sexual abuse.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Varun Dutt

<b>Riskfactor</b>: THE BASE RATE BIAS

Base rate fallacy, also called base rate neglect or base ...

Parvez Imam

Revisiting history can do us all good

We often think that we understand history. We read it ...

Bubbles Sabharwal

Your happiness doesn’t depend on your needs

They are two different words (and even worlds) altogether: having ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture