RBI is going to give its new Monetary Policy soon. Everyone is eager to know about the changes being made in this policy. RBI MPC (Monetary Policy Committee) is going to conduct a special meeting for the purpose on 3rd April 2024. It will continue till 5th March 2024. The new financial year started already. Thus, these policy and framework changes will mark the new plans for the country’s growth in the current year.
RBI Monetary Policy Committee decides to conduct a meeting from 3rd April 2024 to 5th April 2024. The meeting will discuss any need to make changes in the current policy, including things like repo rates, borrowing and loan rates, and more. Any changes or conclusions will be presented by RBI Governor, Shaktikanta Das on 5 April by 10:00 A.M. The inflation is increasing rapidly at the moment. Thus, some changes might take place. However, the final decision will be out on 5 April only.
Currently, the monetary policy states the repo rate of 6.5%. It is good for the current inflation rates. It might not get changed. The RBI is currently lending to the banks at the repo rate of 6.5%. It has been continuing for more than a year at the moment. This Monetary Policy is important for all as it keeps the country’s finances in the right direction. Thus, a timely update is very important for it. India keeps this meeting after every two months to avoid any hassle. These months for the meeting are February, April, June, August, and October, and December.
If we talk about inflation, it is growing regularly. Thus, RBI didn’t keep a fixed percentage of inflation as normal. It marks the range from 2-6 percent as normal. Thus, even if the inflation rate increased from 4% to 5.09%, it remained in that bracket. The bank will decide to control the inflation further. Shaktikanta Das will announce the final decision on 5th April 2024. There are not many expectations of changes in the repo rate. It expects to be the same. However, the conclusion will take place on Friday itself.
The new financial year brings new goals to the economy’s growth. Thus, it is important to have these discussions on a timely basis. For inflation control, we can expect a rate cut cycle from RBI by Q3 2024-25. We will provide more updates shortly. Stay tuned for more information on our website for more information.
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