New Delhi: Reserve Bank of India Governor Shaktikanta Das has announced today that the MPC has increased the repo rate by 0.25 percent. The decisions of the last credit policy of the Reserve Bank of India (RBI Monetary Policy) in the financial year 2022-23 have been announced today. After this, the repo rate in the country has increased to 6.50 per cent, which was earlier at 6.25 per cent. 4 out of 6 members of the MPC voted in favor of it.
This increase in repo rate is the sixth consecutive time when RBI has increased the credit policy. In this way, by increasing the rates for 6 consecutive times, the RBI has increased the repo rate by a total of 2.50 percent and it has come to 6.50 percent.
The Reserve Bank of India has increased the estimate of GDP growth rate (GDP) for the current financial year 2022-23 from 6.8 percent to seven percent. At the same time, in the next financial year i.e. 2023-24, the growth rate of GDP has been estimated to be 6.4 percent. RBI has predicted retail inflation to be 6.5 percent in the current financial year and 5.3 percent in the next financial year i.e. financial year 2023-24.
Other announcements made by Governor Shaktikanta Das –
RBI Governor Shaktikanta Das said that the ups and downs in the global economy and inflation figures are affecting the Indian economy as well. Indian economy is growing rapidly but global challenges are in front of us and decisions have to be taken accordingly. The RBI governor said that for the financial year 2023, India’s GDP has been estimated at 7 percent. In the financial year 2023-24, the inflation rate is likely to remain above the range of 4 percent. RBI has increased the MSF rate to 6.75 percent and it has also increased by 0.25 percent. MSF has been increased from 6.50 percent to 6.75 percent.
Other factors –
- Shaktikanta Das said that the Indian rupee has seen less volatility than other currencies.
- G-Sec market timings have been re-implemented from 9 AM to 5 PM.
- Fiscal deficit will be moderate in the second half of FY2023.
- RBI has proposed approval regarding landing and borrowing of G-Secs.
- MPC meeting started on Monday
The meeting of the Monetary Policy Committee of the Reserve Bank was held on Monday, February 6, and today, on February 8. This is the last credit policy for the financial year 2022-23 and happened immediately after the budget. RBI Governor said that there is sufficient liquidity in the banking system and RBI is keeping a close watch on it in the country.
Bank shares rose ahead of RBI governor’s announcement –
Today, before the announcement of RBI’s monetary policy, almost all bank stocks of Bank Nifty were trading in the green mark and a boom was being seen in Bank Nifty. At 9:54 in the morning, 9 out of 12 stocks of Bank Nifty were seeing a jump and Bank Nifty was trading above 200 points.
