INSUBCONTINENT EXCLUSIVE:
Reverse repo rate stands at 6.25 per cent, said RBI.The Reserve Bank opted for a surprising status quo at the bi-monthly review Friday on
expectations of softening price rise, but changed the policy stance to "calibrated tightening" from "neutral"
The repo rate, at which the RBI lends to the system, will continue to be at 6.5 per cent and the reverse repo at which it absorbs excess
funds will be 6.25 per cent
The Monetary Policy Committee (MPC) voted 5:1 in favour of a status quo, with only Chetan Ghate voting for a 0.25 per cent hike.The
Projects retail inflation to rise to 3.8-4.5 per cent in October-March4
Retains GDP growth estimate at 7.4 per cent for current fiscal*5
Global economic activity becoming uneven, outlook clouded by uncertainties6
Oil prices remain vulnerable to further upside pressures9
Global, domestic financial conditions tightened, may dampen investment activity10
Fiscal slippage at the centre/state to have a bearing on the inflation outlook, besides heightening market volatility and crowding out
Trade tensions, volatile and rising oil prices, and tightening global financial conditions pose substantial risks to growth, inflation
Calls for further strengthening of domestic macroeconomic fundamentals14
is published from a syndicated feed.)
