RBI Monetary Policy: The Governor of the Reserve Bank of India, the country’s central bank, Shaktikanta Das has announced the decisions of the bi-monthly monetary policy committee meeting. RBI has increased the repo rate by 0.50 basis points and increased it to 5.40 percent. This means that your EMI is going to increase significantly due to this.
reserve Bank governor of Shaktikanta Das Said that at this time the pressure on globalization and global economy is clearly visible. The impact of the changing scenario of the global economy is also being seen on emerging markets. The Indian economy is also not untouched by the changing conditions of the global economy and concerns about inflation in the country remain. The effect of the change in the country’s export and import data is expected to remain within the prescribed limit of the current account deficit.
Shaktikanta Das said that our economy is expected to grow rapidly from IMF to
What is Repo Rate and Reverse Repo Rate
Repo rate is the rate at which loans are given to banks by RBI and banks give loans to customers from this loan. Reverse repo rate is the rate at which banks get interest from RBI on deposits. The increase in the repo rate means that many types of loans from the bank will become expensive.
what is mpc
The decision on the repo rate and reverse repo rate is taken only in the three-day meeting of the Monetary Policy Committee ie MPC. The MPC of the Reserve Bank consists of 6 members, out of which 3 members are representatives of the government. The remaining 3 members represent the Reserve Bank of India, including the RBI governor.