By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Weekly DailyWeekly Daily
Notification Show More
Latest News
From Wounds to Wisdom: Sukanya Dogra’s Path to Soul Liberation
May 29, 2025
Pappco Greenware India: Leading the Eco-Revolution in Food Packaging
May 20, 2025
Dreamworld Vacations  Launches All-Inclusive Family Holiday Packages in India for Memorable Getaways
May 15, 2025
Royal Savoy Holidays is Redefining Luxury Escapes: Ranked Among the Best International Tour Operators in India
May 15, 2025
Rosewood Worldwide Travel Launches India’s Most Exclusive and Rewarding Holiday Membership Program
May 15, 2025
Aa
  • Home
  • Insider
  • Politics
  • Startup
  • Discover
  • Brand Stories
Reading: RBI’s MPC Maintains Repo Rate at 6.5% and Projects Inflation to Remain Above Target
Share
Aa
Weekly DailyWeekly Daily
  • ES Money
  • U.K News
  • The Escapist
  • Entertainment
  • Politics
  • Technology
  • Insider
Search
  • Home
  • Insider
  • Politics
  • Startup
  • Discover
  • Brand Stories
Follow US
Home » Blog » RBI’s MPC Maintains Repo Rate at 6.5% and Projects Inflation to Remain Above Target
Financenews

RBI’s MPC Maintains Repo Rate at 6.5% and Projects Inflation to Remain Above Target

WM Team
WM Team Published June 8, 2023
Last updated: 2023/06/08 at 9:35 AM
Share
RBI
SHARE

RBI’s MPC Keeps Repo Rate Unchanged at 6.5%

The Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI) unanimously decided to maintain the repo rate at 6.5 percent. The MPC believes that the previous rate hikes are effectively transmitting through the economy and will help contain inflation in the coming months.

Contents
RBI’s MPC Keeps Repo Rate Unchanged at 6.5%Inflation Projection Revised Slightly DownwardGDP Growth Projection UnchangedContinued Withdrawal of AccommodationRBI Governor’s StatementPrevious Rate Hikes and Pause

Inflation Projection Revised Slightly Downward

The MPC revised down the inflation projection for FY24 to 5.1 percent from 5.2 percent, although it is expected to remain above the target of 4 percent throughout the fiscal year. The consumer price index-based (CPI) inflation in April stood at 4.7 percent YoY, within the RBI’s target range of 2-6 percent.

GDP Growth Projection Unchanged

The committee kept the GDP growth projection for FY24 unchanged at 6.5 percent. The quarterly projections are as follows: 8 percent for Q1, 6.5 percent for Q2, 6 percent for Q3, and 5.7 percent for Q4.

Continued Withdrawal of Accommodation

The MPC, with a majority of five out of six members, decided to maintain its stance of “withdrawal of accommodation” to ensure inflation aligns with the target while supporting growth. However, one member expressed reservations on this decision.

RBI Governor’s Statement

RBI Governor Shaktikanta Das stated that the MPC will make prompt and appropriate decisions as required. He also mentioned that India’s forex reserves stood at $595.1 billion on June 2, and the current account deficit is expected to be manageable in FY24.

Previous Rate Hikes and Pause

The RBI had previously raised the repo rate by 250 basis points to 6.5 percent between May 2022 and February 2023. In April 2023, the MPC decided to pause the rate hikes, emphasizing that it was a temporary pause rather than a change in direction, while keeping the possibility of further tightening open.

You Might Also Like

Embracing New Beginnings: Welcoming 2024 with Joy and Hope

Rajiv Gandhi Assassination Convict: Controversy

Churachandpur Unrest: Manipur Enforces Prohibitory Orders Amid Ethnic Clashes

McLaren Introduces GTS as Next-Gen GT Supercar: A Power-Packed Upgrade

WHO Designates JN.1 Coronavirus Strain as ‘Variant of Interest’

TAGGED: Inflation, News, RBI, RBI Policy, Weekly Daily, weeklymail, weeklymail.in
WM Team June 8, 2023
Share this Article
Facebook Twitter Whatsapp Whatsapp LinkedIn Email Copy Link Print
Leave a comment

Leave a Reply Cancel reply

You must be logged in to post a comment.

You Might Also Like

Fashion

Embracing New Beginnings: Welcoming 2024 with Joy and Hope

December 31, 2023
rajiv gandhi
news

Rajiv Gandhi Assassination Convict: Controversy

December 27, 2023
A child with Flag
Politics

Churachandpur Unrest: Manipur Enforces Prohibitory Orders Amid Ethnic Clashes

December 23, 2023
DiscoverInnovation

McLaren Introduces GTS as Next-Gen GT Supercar: A Power-Packed Upgrade

December 20, 2023

2023 © Weekly Mail Network. All Rights Reserved.

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?