RBI Monetary Policy Meeting 2023 Live Updates

RBI Governor Shaktikanta Das on Thursday's MPC meeting said that the withdrawal of the ₹2,000 note is a temporary measure. Once the complete withdrawal of ₹2,000 denomination from the country, there will be "adequate liquidity" in the system. Governor Das added.

In May this year, the Reserve Bank of India (RBI) decided to withdraw ₹2,000 denomination banknotes from circulation and said that all the notes must be exchanged before September 30.

RBI Governor Shaktikanta Das announced that banks are required to uphold an incremental Cash Reserve Ratio (CRR) of 10% on the rise in their Net Demand and Time Liabilities (NDTL) between May 19 and July 28. This measure will take effect from the fortnight beginning August 12.
Cash Reserve Ratio (CRR) remains unchanged at 4.5 per cent, says RBI Governor

GDP growth projection for FY23-24 retained at 6.5%

• GDP forecast for FY24 is at 6.5%
• GDP forecast for Q1FY24 at 8%
• GDP forecast for Q2FY24 at 6.5%
• GDP forecast for Q3FY24 at 6%
• GDP forecast for Q4FY24 at 5.7%

Consumer price index inflation forecast for FY2023-24 has been raised to 5.4% from 5.1%, says RBI Governor Shaktikanta Das.

• CPI inflation forecast for Q2FY24 raised to 6.2% from 5.2%
• CPI inflation forecast for Q3FY24 raised to 5.7% from 5.4%
• CPI inflation forecast for Q4FY24 retained at 5.2%

RBI Governor Shaktikanta Das stated that the GDP growth projection for the period of April-June 2024 is estimated to be 6.6%.

Retail inflation for FY24 has been revised to 5.4%, says Das

RBI Governor Shaktikanta Das reaffirmed the steadfast determination of the RBI MPC to bring inflation in line with the 4% target and to anchor inflation expectations. He highlighted that the cumulative rate hike of 250 basis points (bps) since FY23 is gradually making its impact felt across the economy.

RBI Governor Shaktikanta Das confirmed that both the Marginal Standing Facility Rate and Bank Rate remain steady at 6.75%.

For the third consecutive meeting, the RBI Monetary Policy Committee (MPC) has opted to keep the main policy repo rate steady at 6.5%. This decision maintains the ongoing status quo on the repo rate.

The repo rate pertains to the interest rate at which banks seek short-term liquidity support by borrowing funds from the Reserve Bank of India (RBI). In a prior instance, the MPC had increased this rate from 6.25% to 6.50% during its gathering in February.

The Indian economy is making a 15% contribution to worldwide economic growth, according to RBI Governor Shaktikanta Das.

RBI Governor Shaktikanta Das will deliver monetary policy decision at 10 am.