Business Desk: The Monetary Policy Committee meeting of the Reserve Bank of India (RBI), which started on April 5, has ended today. RBI Governor Shaktikanta Das made the press conference and announced the decisions taken by the committee. This was the first MPC meeting for FY 2021-22. The MPC has not changed the interest rates. It may be noted that the Reserve Bank had last revised the policy rates on 22 May 2020. Despite Corona's new wave, it has projected an increase of 10.5 per cent in GDP in this financial year 2021-22.
The salient features of RBI are as follows:
RBI has not made any change in the repo rate. It remains at four per cent. The MPC has unanimously taken this decision.
That is, customers have not got new relief on EMI or loan interest rates.
The Marginal Standing Facility (MSF) rate is also at 4.25 per cent.
Das further said that the reverse repo rate has also been kept constant at 3.35 per cent.
With this, it has been decided not to change the bank rate. It stands at 4.25 percent.
Along with this, the central bank has kept the monetary stance ‘liberal’.
Das said that the central bank would ensure sufficient cash in the system, so that the productive sectors would get loans easily.
The global economy is improving but uncertainty still persists.
The Reserve Bank of India has projected a 10.5 per cent increase in the country's GDP in the current financial year 2021-22. In the last meeting too, only a 10.5 per cent increase in GDP was estimated.
It will be 22.6 per cent in the first quarter of this fiscal, 8.3 per cent in the second quarter, 5.4 per cent in the third quarter and 6.2 per cent in the fourth quarter.
He said that as the vaccination is getting faster, the world economy will improve. All possible efforts will be made to improve the economy.
Shaktikanta Das said that the economy is improving despite the corona virus epidemic.
But the way Corona cases have increased recently, there has been little uncertainty. But India is ready to meet the challenges.
On inflation, Das said, CPI could remain at 5.1 per cent in FY 2022. The retail inflation is expected to be 5.20 per cent in the first and second quarter. It may be five per cent in the fourth quarter.
In the fourth quarter of FY 2021, CPI is expected to be five per cent.
Shaktikanta Das said that the inflation of food items will depend on the southwest monsoon and taxes on petrol and diesel.
He said that there will be emphasis on increasing liquidity in the market. In the first quarter of FY 2021-22, the central bank will buy a bond of one lakh crore rupees. Bonds worth Rs 25,000 crore will be purchased under the Government Securities Program.
TLTRO on tap scheme was announced to be extended. The TLTRO on tap scheme has been extended to 30 September 2021.
Besides, an aid of Rs 50,000 crore has also been made to NABARD, National Housing Board (NHB) and SIDBI. Out of this, NABARD will get 25,000 crores, NHB will get 10,000 crores and SIDBI will be given 15000 crores.
Payment companies will also be able to transfer money through National Electronic Fund Transfer (NEFT) and Real Time Gross Settlement (RTGS). Till now this facility is available only to banks.