RBI rates unchanged in 2nd bi-monthly monetary policy review for year 2016-17
The Reserve Bank of India (RBI) in its second bi-monthly monetary policy review for year 2016-17 has maintained status quo in key policy interest rate.
The key policy interest rates were kept unchanged on the basis of an assessment of the current and evolving macroeconomic situation in the country. RBI has kept its stance on the credit policy accommodative.
Key Rates are
- Repo rate under the liquidity adjustment facility (LAF): unchanged at 6.50 per cent.
- Reverse repo rate under the LAF: unchanged at 6.0 per cent.
- Marginal standing facility (MSF) rate: 7.00 per cent.
- Cash Reserve Ratio (CRR) of scheduled banks: Unchanged at 4.0 per cent of net demand and time liability (NDTL).
- Statutory Liquidity Ratio (SLR): Unchanged at 21.25 per cent.
- Growth forecast: pegged at 7.6% for the current fiscal.
- Inflation target: It was kept unchanged at 5% for January 2017 with upward bias
- Public investment: It is gaining strength and continuing weakness in private investment is a concern.