RBI Monetary Policy Committee: The Reserve Bank of India s monetary policy panel today XXX India s inflation aim for this fiscal year amid worries for rising food prices and uncertainties around crude prices that have however recently been on a downtrend. Reserve Bank of India s Governor Shaktikanta Das today announced the inflation target during the Monetary Policy Committee s rate announcement. The MPC today also left India s repo rate unchanged for a fifth straight time.
The MPC) expected to keep benchmark lending rates unchanged for the fifth consecutive time. The relatively favorable macroeconomic indicators in India, with easing retail inflation and a GDP growth rate of 7.8% in Q2FY24, provide confidence to chart its own path, independent of US Federal Reserve, European Central Bank and Bank of Japan
The cost of vegetarian and non-vegetarian thalis in India rose by 10% and 5% respectively in November due to increased prices of onions and tomatoes, according to CRISIL. This represents a 9% increase in the cost of a vegetarian thali compared to November 2022. Pulses, accounting for around 9% of the total cost, increased 21% YoY.
The MPC s primary responsibility is to determine the policy repo rate, aiming to achieve the targeted inflation rate while considering growth objectives.
The ministry said India can look forward to a longer economic and financial cycle over the medium term than in the past, thanks to the sustained focus on public investment in infrastructure and advances in digital public infrastructure. However, external headwinds could threaten these projections.