Reserve Bank of India Governor Raghuram Rajan on Tuesday maintained status quo on key rates at his last policy review meeting.
Following are the highlights of RBI's third bi-monthly monetary policy statement, 2016-17:
- Repo rate unchanged at 6.50 per cent, Reverse Repo at 6%
- Cash reserve ratio or CRR unchanged at 4%
- Growth forecast at 7.6% for the current fiscal
- Inflation target remains 5% for January 2017; upside risk
- Normal monsoon, 7th Pay Commission award to boost growth
- GST roll out to boost business sentiment, investment
- Timely implementation of GST a challenge
- Premature to talk about inflationary impact of GST
- FCNR(B) redemptions not to disrupt liquidity in market
- Banks have passed on rate cut benefit only modestly
- FAQ on KYC norms on RBI website for easy reference
- Marginal Cost Lending Rate framework for interest rate to be modified
- Forex reserves at $365.7 billion on August 5
- Fourth bi-monthly monetary policy on October 4.
Image: RBI Governor Raghuram Rajan. Photograph: Reuters
