16.4 C
Saturday, February 24, 2024

RBI monetary policy: Repo Rates Unchanged At 6.5%, impact on stock market

Must Read

Batori24 Bureau
Batori24 Bureau
Batori24 is a Vernacular based Assamese news portal based in Guwahati Assam. We are a dedicated news channel covering news and stories across the globe with special reference to Assam, north-east along with National and International news.

RBI monetary policy: Contrary to widespread media predictions, the Reserve Bank of India (RBI) held repo rates constant at 6.5 percent on Thursday.

The central bank’s Monetary Policy Committee (MPC) chose to halt after a rate hike in the previous six consecutive policies.

Governor Shaktikanta Das stated during the announcement of the three-day meeting of the Monetary Policy Committee that the RBI has kept the repo rate constant at 6.5% and is ready to act if the circumstances warrant it.

Also Read: India: 53% Indian women do not step out of the house even once a day: Reports

The Reserve Bank of India issued its bimonthly monetary policy on Thursday, keeping the repo rate constant at 6.50 percent. The RBI’s Monetary Policy Committee (MPC) unanimously decided to maintain the repo rate at 6.50 percent, said governor Shaktikanta Das in releasing the first monetary policy statement of the fiscal year.


The RBI’s Monetary Policy Committee met on April 3, 4, and 6 to begin the central bank’s first bimonthly review of the new fiscal year. A year is divided into six biweekly reviews of monetary policy by the central bank. There are also out-of-cycle reviews, in which the central bank holds extra sessions in emergency situations.

RBI’s Monetary Policy: Nifty, Stock market impact

Around the same time, the rate-sensitive Nifty Bank index rose 136 points, or 0.37 percent, to 41,135 with State Bank of India (SBI) and Punjab National Bank (PNB) leading the gains, up 1.27 percent and 1.18 percent, respectively. The Nifty Financial Services index rose 0.37 percent in response to the RBI MPC decision.
Except for the Nifty FMCG and Nifty Consumer Durables, all sectoral indexes traded in green. The Nifty PSU Bank index gained the most, 1.21 percent.

At its most recent meeting in early February, the RBI’s Monetary Policy Committee (MPC) decided to raise the repo rate by 25 basis points, to 6.5 percent, in order to manage inflation. The RBI has boosted the repo rate (the interest rate at which it lends to banks) by 250 basis points since May 2022. Raising interest rates is a monetary policy tool that is typically used to reduce economic demand and lower inflation.

- Advertisement -
- Advertisement -

Latest News

Bhupen Borah heads to Jorhat, to face police Inquiry amid Political turmoil

Police in Jorhat have summoned Assam Congress chairman Bhupen Borah to appear before them on January 31 in relation to a case involving the Bharat Jodo Nyay Yatra, which is suspected of deviating from its approved route in the district.
- Advertisement -

More Articles Like This

- Advertisement -