PremiumRBI Monetary Policy LIVE: The government has mandated the central bank to keep the inflation at 4 per cent, with an upper and lower tolerance level of 2 per cent.
The Monetary Policy Committee (MPC), headed by RBI Governor Shaktikanta Das, is holding its first meeting in the current financial year. The meeting started on from April 6 and the outcome will be announced today.
In the last 10 meetings, the MPC left interest rate unchanged and also maintained an accommodative monetary policy stance.
The repo rate or the short-term lending rate was last cut on May 22, 2020. Since then, the rate remains at a historic low of 4 per cent.
After the February MPC meeting, the RBI had decided to hold its key lending rates steady at record low levels for the 10th straight meeting to support a durable recovery of the economy.
In a report this week, State Bank of India (SBI) said the central bank may increase its inflation projections for fiscal 2022-23 considerably and also lower growth projections.
It expects the RBI to continue with a pause on short-term lending rate (repo).
The Reserve Bank of India's rate-setting panel on Wednesday started discussions to firm up the next bi-monthly monetary policy amid expectations that it might retain status quo on interest rate but change its monetary policy stance amid rising inflation on account of geopolitical developments.
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