RBI Monetary Policy 2024 LIVE
The RBI will closely monitor liquidity, growth, and inflation over the coming weeks and months, but it is expected to maintain the current interest rates. This is the second meeting of the RBI MPC in FY25.
On April 5, the Reserve Bank of India’s Monetary Policy Committee (MPC) decided to keep the policy rate unchanged for the seventh consecutive time, remaining vigilant to the upside risks to food inflation.
The rate hike cycle was paused in April last year after six consecutive increases totaling 250 basis points since May 2022. Announcing the first bi-monthly monetary policy for FY25, RBI Governor Shaktikanta Das said the MPC has decided to keep the repo rate unchanged at 6.5% by a majority vote of 5:1.
In April, the Reserve bank of India retained the inflation projection at 4.5% for the current financial year, down from 5.4% in the last fiscal year. Assuming a normal monsoon, CPI (consumer price index-based) inflation for the current year is projected at 4.5%, with Q1 at 4.9%, Q2 at 3.8%, Q3 at 4.6%, and Q4 at 4.5%.
Most experts believe that the central bank will maintain its projection of India’s GDP.
