Sunday, Nov 27, 2022

RBI' Monetary Policy Committee Hikes Repo Rate By 50 Basis Points:  Key Highlights

Benchmark interest rate hiked by 50 basis points to 3-year high at 5.90

Following are the highlights of RBI's monetary policy announced on Friday

Benchmark interest rate hiked by 50 basis points to 3-year high at 5.90. 

Economic growth projection for FY23 cut to 7 pc from 7.2% estimated in August

GDP expected to grow at 6.3% in September quarter, 4.6% each in December and March quarters.

Inflation projection retained at 6.7% for ongoing fiscal year (FY23)
Inflation to remain above upper tolerance limit of 6 pc till December 
Average crude oil price for Indian basket expected at USD 100 per barrel 
RBI to remain focused on withdrawal of accommodative monetary policy stance to check prices      
RBI says rupee movement orderly against US dollar; depreciated only 7.4% this year till September 28
RBI does not have a fixed exchange rate for rupee; intervenes in market to curb excessive volatility 
Forex reserve down 6% at $37.5 billion as of September 23 this year 
The central bank confident of financing external sector deficit 
World in midst of third major shock from aggressive monetary tightening by central banks, Indian economy resilient     

Merchandise exports affected due to external factors, private consumption picking up 
Recent correction in global crude oil prices if sustained may provide relief from inflation 
Bank credit has grown at accelerated pace of 16.2 pc
Next meeting of the Monetary Policy Committee on December 5-7.