The Monetary Policy
Committee (MPC), at its meeting (June 8, 2023) agreed to: Maintain the policy
repo rate at 6.50 percent based on an evaluation of the existing and changing
macroeconomic conditions.
The rates for the bank
rate, the marginal standing facility, and the standing deposit facility (SDF)
remain the same at 6.25 percent and 6.75 percent, respectively.
The MPC also made the
decision to continue concentrating on the withdrawal of
accommodation to make sure that inflation gradually aligns with the objective
while fostering growth.
These choices are in
line with the goal of promoting growth while meeting the medium-term aim for
consumer price index (CPI) inflation of 4% within a range of +/- 2%.Read Also This: Climate Change Poses a Threat to India’s Economy
Global
Outlook:
The global economy is
still growing in the second quarter of 2023 despite continued high but dropping
inflation, tighter financial conditions, stress in the banking industry, an