RBI may cut rates by 25 bps on August 9
The Dollar Business Bureau The Reserve Bank of India (RBI) is expected to slash key interest rates by 25 basis points in its upcoming August 9 policy review meet, if pulses price inflation comes down on account of good weather, said Bank of America Merrill Lynch (BofA-ML) in a report. “With good rains, pulses’ sowing for the kharif season has jumped 39% above last year’s sowing. This should pull down pulses prices by 20% and cool CPI inflation to 5.1% by March,” the research note said. Pulses inflation is currently running at 27% on a poor summer rabi crop. The global brokerage firm said the RBI could cut policy reasons on three reasons. First, a good monsoon will reduce agiflation, second, the core-CPI inflation has softened ...
India emerged as fastest growing major economy in world: Finance Ministry
Source: PIB, Government of India A press conference was held in New Delhi on Monday which was addressed by Ratan P Watal, Finance Secretary, Shaktikanta Das, Secretary, Department of Economic Affairs (DEA), Hasmukh Adhia, Revenue Secretary, and Arvind Subramanian, Chief Economic Adviser (CEA), Ministry of Finance among others. Following is the text of the brief Statement issued after the aforesaid Press Conference: As we complete, the first half of the current financial year 2015-16, it is time to step back and take stock of what we have achieved on the economic front, and what we need to do to consolidate the gains we have made. Despite the global slowdown and declining export demand, India has emerged as the fastest growing major economy ...
'Inflation should not prevent RBI from cutting interest rate'
Source: PTI Hours before RBI Governor Raghuram Rajan announces third bi-monthly monetary policy of the fiscal, a top Finance Ministry official has said the central bank should not hesitate in cutting interest rate just on inflationary concerns. The government, he said was keen on bringing down cost of borrowing and RBI cutting its key policy rate will be a trigger for such a move that will boost investment and growth. The Reserve Bank will announce the monetary policy review at 11 am tomorrow. The official said wholesale inflation (WPI) is in negative territory since November and international oil prices, the biggest dampener on domestic commodity prices, are multi-year lows, giving comfort to developing economies like India. Bankers, however feel RBI will ...
