RBI Governor Shaktikanta Das, during a presser at 12 noon today, said the MPC has decided to keep the key lending rate or repo rate unchanged at 4 per cent. He said other rates have also been kept unchanged, while keeping the "accommodative" stance. Global economic activity has remained fragile; surge in COVID-19 cases has subdued early signs of revival, said the RBI Governor.
Check out all the latest updates on the RBI MPC meet on BusinessToday.In live blog
12.21 PM: The GDP growth in the first half of the year is estimated to remain in the contraction zone. For the year 2020-21 as a whole, the real GDP growth is also estimated to be negative, says Reserve Bank of India (RBI) Governor Shaktikanta Das.
12.20 PM: The RBI is perhaps the only central bank in the world, which has set up a special quarantine facility for continuity of critical operations, says RBI Governor Shaktikanta Das.
12.16 PM: The MPC also believes the CPI inflation will remain elevated during the current July-September quarter, says the RBI Governor.
12.15 PM: The continuous rise in COVID-19 cases have subdued revival in major economies across the world, says the RBI Governor
12.14 PM: The GDP growth in H1 will remain in negative, says the RBI governor.
12.13 PM: The economic activity has been fragile in the January-June period, says RBI Governor.
12.12 PM: The MPC voted unanimously in favour of resolution.
12.08 AM: Global economic activity has remained fragile; surge in COVID-19 cases has subdued early signs of revival, says RBI Governor.
12.06 PM: Reverse repo rate also remains unchanged at 3.35%: RBI Governor Shaktikanta Das.
12.05 PM: Other key rates, including reverse repo rate and bank rate, have also been kept unchanged, RBI Governor Shaktikanta Das says.
12.03 PM: The RBI to maintain accommodative stance, says Governor Shaktikanta Das after meeting of Monetary Policy Committee.
12.00 PM: RBI Governor announces repo rate remains unchanged at 4 per cent.
11.30 AM: According to a Bloomberg poll of 42 economists, 21 expect another 25 bps rate cut while 20 say the RBI may continue the status quo.
11.28 PM: Rate cut unlikely: SBI Ecowrap
SBI's research report ''Ecowrap'' says with the 115 basis points (bps) reduction in repo beginning February, banks have already transmitted 72 bps to the customers on fresh loans in the interregnum which is perhaps a milestone in terms of the fastest policy rate transmission in India. Large banks have transmitted as much as 85 basis points. "...we believe an August rate cut is unlikely," it said.
11.15 AM: RBI Governor to hold presser at 12.00 noon.
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11.00 AM: The RBI has cut repo rate by 115 bps ever since the COVID-19 pandemic hit the country in March. Last year, the RBI had cut repo rate by 135 bps as growth continued to recede.