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VEDANTA MASS MEDIAHighlights of India's monetary policy update
  


            

 

 

 

  
             Highlights of India's monetary policy update

 

 

 

             Indo-Asian News Service

 

 

 

      Mumbai, July 28 (IANS) Following are the highlights of the first quarterly update of India's monetary policy for this fiscal, unveiled by Reserve Bank of India Governor D. Subbarao here Tuesday:

 

      * Bank rate retained at 6 percent

 

      * Repo rate unchanged at 4.75 percent

 

      * Reverse repo rate unchanged at 3.25 percent

 

      * Cash reserve ratio unchanged at 5 percent

 

      * Statutory liquidity ratio unchanged at 24 percent

 

      * Inflation forecast hiked to 5 percent from 4 percent

 

      * Negative inflation only a statistical phenomenon

 

      * Balance between liquidity and inflation main concern

 

      * India's growth now forecast at 6 percent with upward bias

 

      * More scope for cutting rates by commercial banks

 

      * Money supply may grow 18 percent this fiscal

 

      * Policy will ensure enough commercial credit


 

 


     Indo-Asian News Service




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