RBI interest rate setting 6-member panel starts 3-day meet
RBI had increased the benchmark short term lending rate (repo rate) by 0.25 per cent to 6.25 per cent in its last policy review in June on inflationary concerns. The retail inflation, which is factored in by the MPC, spiked to a five-month high of 5 per cent in June on costlier fuel. The government has mandated the Reserve Bank to keep inflation at 4 per cent (+/- 2 per cent).
The MPC is meeting for the third bi-monthly Monetary Policy Statement for 2018-19. The resolution of the MPC will be made public in the afternoon of August 1. Image source: Reuters