In line with consensus and QuantEco Research expectations, the Monetary Policy Committee of the RBI at its first review for FY22 decided to leave all policy rates unchanged.
Download ReportIndia RBI Policy: Bonding with accommodation
In line with consensus and QuantEco Research expectations, the Monetary Policy Committee of the RBI at its first review for FY22 decided to leave all policy rates unchanged. As such, the benchmark repo rate continues to remain at 4.00%, while the effective policy rate (reverse repo rate) stays at 3.35%. The MPC also reiterated its accommodative stance on monetary policy as long as necessary to sustain growth on a durable basis and continue to mitigate the impact of COVID on the economy, while ensuring that inflation remains within the target going forward. Both decisions were backed by unanimous voting of 6-0 from the MPC.