The monetary review policy of the Reserve Bank is about to begin. This will happen during June 6 to 8. Everyone’s eyes will be on the decisions of the RBI MPC amidst inflation and instability of the global economy. Most experts are of the view that there is little possibility of an increase in interest rates.
The monetary review policy of the Reserve Bank is about to begin. This will happen during June 6 to 8. Everyone’s eyes will be on the decisions of the RBI MPC amidst inflation and instability of the global economy. Most experts are of the view that there is little possibility of an increase in interest rates. In such a situation, there seems to be some relief from the worry of increase in loan EMI. Earlier in the meeting held in April, it was decided to keep the rates unchanged. Due to this, the repo rate remains at 6.50 percent.
Decision will come on this date
The decision of the 43rd meeting of the RBI MPC will come on June 8. Reserve Bank Governor Shaktikanta Das will make it public. Das is the President of the 6 member MPC. The central bank has increased the repo rate by 250 basis points since May last year. According to the officials of big banks like Bank of Maharashtra and Bank of India, there will be no increase in rates for the time being.
Will interest rates not increase?
The MD of Bank of India said that the policy rate repo has already increased by 2.5 percent. He said that if you look at the figures of wholesale and retail inflation, it has come down now. In such a situation, I think that RBI will now put a pause and there will be no increase in the repo rate. Bank of Maharashtra Executive Director Ashish Pandey also supported this statement. Pandey said that RBI will stick to its wait and see policy before changing the rate.
US Fed may increase the rate
The US central bank Federal Reserve will also decide on interest rates in June. According to experts, the Fed may increase the interest rates this time. This will be stopped after the rate hike in June. That means there will be no further increase in rates. At present, the RBI’s eye will be on inflation, the effect of El Nino on Kharif crops and the progress of monsoon.
