Highlights of monetary policy review by India’s central bank

August 14th, 2009 HYDERABAD - Reserve Bank of India (RBI) governor D. Subbarao Friday said the state of agriculture following poor rainfall was disturbing.

July 28th, 2009 MUMBAI - Following are the highlights of the first quarterly update of India's monetary policy for this fiscal, unveiled by Reserve Bank of India Governor D. Subbarao here Tuesday: * Bank rate retained at 6 percent * Repo rate unchanged at 4.75 percent * Reverse repo rate unchanged at 3.25 percent * Cash reserve ratio unchanged at 5 percent * Statutory liquidity ratio unchanged at 24 percent * Inflation forecast hiked to 5 percent from 4 percent * Negative inflation only a statistical phenomenon * Balance between liquidity and inflation main concern * India's growth now forecast at 6 percent with upward bias * More scope for cutting rates by commercial banks * Money supply may grow 18 percent this fiscal * Policy will ensure enough commercial credit

July 28th, 2009 MUMBAI - The Reserve Bank of India (RBI) Tuesday unveiled the first update of its monetary policy for this fiscal here Tuesday with no major changes in key rates, in line with the predictions and expectations by analysts. Despite a sharp upward revision in India's growth rate, concerns over inflation forced RBI Governor D.

July 28th, 2009 NEW DELHI - Welcoming the monetary policy announced by the apex bank Tuesday, India Inc expressed hope that the country's economic growth will exceed the bank's expectation of 6 percent this fiscal. "The economy could grow at around 7 percent, as the fiscal and monetary measures have an impact on domestic demand," said Chandrajit Banerjee, director general of the Confederation of Indian Industry (CII).

July 28th, 2009 MUMBAI - Reserve Bank of India Governor D. Subbarao will review and update the monetary policy for the current fiscal a little before noon Tuesday amid little expectation of any major change in key policy rates.

July 27th, 2009 MUMBAI - A day ahead of the review of its monetary policy Tuesday, India's central bank sharply raised its growth forecast for the country's economy to 6.5 percent from its earlier projection of 5.7 percent. The Reserve Bank of India (RBI) said the revision was on account of positive outlook emanating from several sources, including the performance of core infrastructure industries, overall manufacturing output and roboust showing by the services sector.

May 9th, 2009 Iceland cuts interest rates to 13 percentLONDON — Iceland's central bank has cut official interest rates by 2.5 percentage points to 13 percent to help the country's troubled economy. It is the third cut in rates this year by the central bank, called Sedlabanki.

April 21st, 2009 MUMBAI - The following are the highlights of the annual monetary policy review released by the Reserve Bank of India, the country's central bank, Tuesday: * Repo rate cut by 25 basis points to 4.75 percent * Reverse repo rate cut by 25 basis points to 3.25 percent * Cash reserve ratio remains unchanged * GDP growth for 2009-10 to be around 6 percent * GDP growth for 2008-09 at 6.5-6.7 percent * Annual rate of inflation to be four percent by end of March 31, 2010 * Inflation to turn negative in early part of 2009-10 * Negative inflation may not persist beyond mid-2009-10 * Consumer price inflation to be in positive territory this fiscal * Banks can open ATMs without prior approval * Foreign currency convertible bond buyback limit increased to $100 million * External commercial borrowing ceiling relaxation extended * Current foreign bank policy to remain, review to happen once world economy recovers * Money supply growth for 2009-10 forecast at 17 percent * Government's market borrowing schemes will infuse liquidity worth Rs.1.2 trillion in first half of 2009-10

April 20th, 2009 MUMBAI - The Reserve Bank of India (RBI) will present the annual review of its monetary policy here Tuesday, even as stakeholders saw the central bank leaving key rates untouched and an overall status quo on the measures. RBI Governor D.

February 9th, 2009 NEW DELHI - Reserve Bank of India (RBI) Governor D. Subbarao Tuesday said a fixed roadmap for monetary policy was not possible because of the 'uncertainty' at global level.

January 26th, 2009 MUMBAI - India's central bank decided to maintain status quo on key rates and lowered the country's growth target for this fiscal to seven percent as it presented the third quarter review of its monetary policy here Tuesday. The benchmark bank rate, the repurchase rate, the reverse repurchase rate, the cash reserve ratio (CRR) and the statutory liquidity ratio (SLR) were all kept unchanged by Reserve Bank of India (RBI) Governor D.

January 26th, 2009 MUMBAI - Indian shares continued to rule in the positive territory Tuesday, even after the central bank conducted its monetary policy review at 11:15 a.m. where it left all key rates unchanged.

January 21st, 2009 NEW DELHI - India's central bank is expected to further cut the repo rate by 50 basis points after the monetary review, while the cash reserve ratio and the reverse repo rate are likely to be kept unchanged, economic intelligence provider Moody's Economy.com predicted Thursday. 'The Reserve Bank of India (RBI) is expected to loosen monetary policy when they next meet on January 27.

January 1st, 2009 MUMBAI - In a bid to lower the cost of borrowings for commercial banks, the Reserve Bank of India (RBI) Friday cut the both the repurchase and reverse-repurchase rates by 100 basis points each, while reducing the cash reserve ratio (CRR) by 0.5 percent points. 'The reduction in the CRR will inject additional liquidity of around Rs.20,000 crore (Rs.200 billion/$4 billion),' the central bank said in a statement, while announcing a further monetary stimulus to prop the economy.

December 22nd, 2008 NEW DELHI - The Indian government Tuesday nudged the central bank to reduce key interest rates in a bid to offset the impact of global slowdown on the country's economy, while warning that growth could fall to seven percent this fiscal. 'An aggressive monetary policy may be necessary if global economic depression continues to adversely affect manufacturing,' said the finance ministry's mid-term review of the Indian economy tabled in parliament Tuesday.