The RBI raised its key interest rates by higher-than-expected 50 bps in a bid to control inflationThe following are the highlights of the Reserve Bank of India's (RBI) Monetary Policy statement for 2011-12:* Short term lending rate (repo) hiked by 50 basis points (bps) to 7.25%* Repo rate to be only effective policy rate to better signal monetary policy stance from now on* Reverse repo to be fixed 100 bps lower than the repo rate* Short-term borrowing rate (reverse repo) up by 50 bps to 6.25%* Cash reserve ratio (CRR) and bank rate left unchanged at 6% each* Interest rates on savings bank deposits hiked to 4% from 3.5%* Economic growth projected lower at 8% for FY11-12* WPI inflation projection lowered to 6%* Objective is to contain inflation by curbing demand-side pressures* Favours aligning of fuel prices with international crude prices to avert widening of fiscal deficit* Banks to get a new overnight borrowing window under Marginal Standing Facility at 8.25%* Likelihood of oil prices moderating significantly is low* Malegam Committee recommendations on MFI sector broadly accepted* Bank loan to MFIs on or after 1 April 2011, will be treated as priority sector loans
Good Initiative from Aniram to support Investor public. Best wishes and keep it up - kapaleeswaran
Thanks sirRamesh Bhat
Good Initiative from Aniram to support Investor public. Best wishes and keep it up - kapaleeswaran
ReplyDeleteThanks sir
ReplyDeleteRamesh Bhat