Comments
Following are the highlights of the third-quarter review of the monetary policy announced by the Reserve Bank of India Governor, Dr D. Subbarao:
*Cash reserve ratio lowered by 0.5 per cent to 5.5 per cent.
*Short term lending rate (repo) retained at 8.5 per cent.
*Short-term borrowing rate unchanged at 7.5 per cent.
*CRR cut to infuse additional Rs 32,000 crore liquidity.
*GDP growth estimate for 2011-12 cut to 7 per cent from 7.6 per cent.
*Downside risks to growth have increased.
*March-end inflation projection at 7 per cent.
*Upside risks to inflation remains.
*Bank rate retained at 6 per cent.
*Fiscal slippages threat to economic stability.
*Investment, capital inflows have slowed down.
*Fiscal deficit to overshoot Budget estimate.
*Injected Rs 70,000 cr in November-January through OMOs.
*Next review of monetary policy on March 15.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.