A Business Standard poll shows that the Reserve Bank of India's (RBI's) Monetary Policy Committee (MPC) is likely to announce a 35-basis point (bp) hike in the repo rate on December 7
The war in Ukraine and resultant spurts in energy and food costs, and supply disruptions caused by the pandemic are among main reasons cited by RBI for high inflation
Core inflation is calculated by largely stripping away the volatile components of food and fuel. Goyal was referring to certain products that have linkages with oil prices
The moment inflation is released by NSO, it gets hit by unanticipated shocks, says RBI Deputy Governor Michael Patra
Swap rates decline post fall in US, India inflation
The Deputy Governor flagged instances of wild swings in sovereign bond yields in response to factors such as the announcement of the government's borrowing programme and interest rate changes
The meeting was chaired by RBI Governor Shaktikanta Das and attended by all the other five members of the rate setting panel
In September review, panel talked about aggressive monetary policy actions and stances across the world
For the past few months the MPC's and the governor's conduct has pointed at the war in Ukraine as the main reason for inflation staying above 6 per cent for three consecutive quarters
MPC may decide RBI's response to govt on the matter; Unlike earlier off-cycle meetings in which interest rate action was taken outside schedule without prior notice, this one was announced in advance
The announcement notifying an additional meeting of the MPC has been made as per Section 45ZI (4) of the RBI Act 1934, the RBI said on Thursday
RBI Monetary Policy Committee (MPC) member Ashima Goyal has attributed the rise in tax collections to demonetisation and said that it will help the nation move towards the ideal situation where low taxes are levied on a large base. On November 8, 2016, Prime Minister Narendra Modi announced the demonetisation of old Rs 1,000 and Rs 500 banknotes and one of the key objectives of the unprecedented decision was to curb black money flows and promote digital payments. Noting that demonetisation had short-term costs but some long-term benefits, Goyal said it enhanced digitisation and formalization in the economy and reduced tax evasion, although all this has further to go. "It contributed to the buoyancy in taxes the country is benefitting from today. This helps us move towards the ideal of low tax rates on a large base," she told PTI. The tax department on October 9 said that the gross collection of tax on corporate and individual earnings jumped nearly 24 per cent so far in the current
RBI says that the inflation might have hit the peak and it could start to lose steam from now. Some say the RBI should breathe easy, while others say it shouldn't. Is the worst of inflation behind us
Balances of Rs 10 cr and above to earn 3% rate of interest Oct 15 onwards; 2.7% rate unchanged on deposits below Rs 10 cr
I think we can bring inflation down to 5 per cent in a couple of quarters, says MPC member Varma
Ashima Goyal was the only dissenting Monetary Policy Committee member who pitched for 35 basis point rate hike while RBI raised rates by 50 points. Business Standard's Bhaskar Dutta caught up with her
The MPC is of the view that further calibrated monetary policy action is warranted to keep inflation expectations anchored
Also makes them applicable to UCBs
In 2019, when retail inflation was 3%, the policy rate was 5.75%. Now inflation hovers around 7% and the policy rate is 5.9%. It needs to move up
More than the monetary policy decision, the RBI's assessment of inflation and growth propelled the markets, said experts