April 16, 2024 06:29 (IST)
Follow us:
facebook-white sharing button
twitter-white sharing button
instagram-white sharing button
youtube-white sharing button
Delhi excise policy case: Arvind Kejriwal to remain in jail as Supreme Court turns down urgent hearing | Excise policy case: Delhi court extends BRS leader K Kavitha's judicial custody to April 23 | 'What else is Congress doing other than looting?': Kangana Ranaut in Himachal Pradesh | Iran could attack Israel sooner than later, warns US President Joe Biden | Amid unemployment, inflation issues, PM Modi's leadership likely to help his third consecutive term at govt: Survey
RBI to announce first monetary policy of 2023 on Feb 8 Policy rate

RBI to announce first monetary policy of 2023 on Feb 8

India Blooms News Service | @indiablooms | 08 Feb 2023, 01:29 am

Mumbai: Reserve Bank of India (RBI) Governor Shaktikanta Das will announce the first monetary policy of 2023 on February 8.

The announcement will follow a two-day review by the six-member Monetary Policy Committee (MPC) amid concerns about a further slowdown in economic growth and tight global financial conditions.

It will be the RBI's first policy stance for the calendar year 2023 and comes just a week after Finance Minister Nirmala Sitharaman presented the Union Budget for the year 2023-24.

Even as the US Federal Reserve has indicated that the disinflation has already set in, the possibility of a slowdown in economic growth will pose a challenge for MPC.

The RBI is expected to raise the main interest rate by a modest 25 basis points (bps) to 6.50 percent, according to economists who participated in a poll conducted by Reuters.

Economists expect RBI to halt after that like most of the central banks across major world economies are waiting for the inflationary pressures to ebb before considering a shift towards a stimulative stance.

As the major central banks are still hawkish, RBI’s job has become a little bit harder, say the experts.

However, India’s headline retail inflation rate declined 5.72 percent in December 2022, the lowest in the last one year, easing for the third consecutive. Also, December's consumer price index (CPI) inflation print came in lower than the upper band of RBI's 2-6 percent mandate.

Despite all this, the aggregate inflation basket is still very sticky.

Support Our Journalism

We cannot do without you.. your contribution supports unbiased journalism

IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.

Support objective journalism for a small contribution.