Bankers urge RBI to slash key rates in monetary policy review of 29 Jan
By Vaibhav Aggarwal
Jan 16, 2013
Print    Email    RSS   

Given the sluggish growth in the economy, most of the leading banks in the country have urged the monetary regulator, Reserve Bank of India, to slash key policy rates, like cash reserve ratio and repo rate, in the forthcoming monetary policy review, which is scheduled to be declared on January 29, 2013.

Reportedly, the last time RBI reduced rates was in April when it cut rates by 50 basis points (bps). Later, it also decreased cash reserve ratio by the same amount (50 bps) in two phases.

On the matter, the Managing Director of HDFC Bank, Mr. Aditya Puri said that banks feel that even though inflationary concerns remain constant, tackling economic growth is a bigger issue. Banks do understand the concerns over inflation, but they recommend the central bank to slash rates like CRR.

It should be noted that before announcing every monetary policy, RBI holds a meeting with the various stakeholders to know their viewpoint on upcoming policy. In the previous monetary policy review, RBI had hinted that it may reduce rates in the January - March quarter of 2013.

Reportedly, RBI is resisting any rate cut due to high inflationary conditions in the economy.

(Comments Posted : 0) Post Your Comments
Show All Comments
 Select a product:

 Select a product:

A chronicle of excesses by loan recovery...
LAP or personal loan: Which one to choose?
Managing and emerging out of institutional...
Credit profile and its effect on loan...
Getting the best rates on your personal...

Unknown accounts reflecting in CIBIL call here...
CIBIL Settlements and Negotiations with score imrove...
paid loans and card still not updated to CIBIL call...
What is the outstanding Amount for my personal loan
ho many month balance in My Personal loan
i need my personal loan track statement

LVB bank joined hands with NCML Feb 18, 2015
Syndicate Bank hiring 5000 new staff Feb 12, 2015
SBI donated Rs 8.6 cr as a part of CSR activity Feb 11, 2015
Canara Bank tied up with NHBC Feb 9, 2015
Hiring for Probationary clerks in South Indian Bank Feb 5, 2015
News Archive