The Reserve Bank of India has released a notification on the Monetary Policy Committee for the upcoming fiscal. According to the notification, six MPC sessions would take place in fiscal year 2025. The first meeting will take place in April 2024, with the final one in February 2025.
Here's the schedule:
Dates: April 3-5, 2024; June 5-7, 2024; August 6-8, 2024; October 7-9, 2024; December 4-6, 2024; and February 5-7, 2025.
The RBI's MPC is in charge of setting the benchmark interest rate, with meetings held at least four times a year, once per quarter. The inaugural MPC meeting will take place from April 3 to 5, 2024. For more than a year, the central bank has kept the short-term lending rate constant at 6.5%. The benchmark interest rate was last raised in February 2023, from 6.25% to 6.5%, to combat inflation caused by global causes.
Key highlights from the February MPC meeting:
1. The RBI has decided to hold the repo rate unchanged at 6.5%
2. The RBI expects the Indian economy to grow around 7% in FY25.
3. Expect each quarter in FY25 to expand at 7.2%, 6.8%, 7%, and 6.9%, correspondingly.
4. The CPI inflation prediction for FY25 is 4.5%.
5. The RBI's inflation outlook for current fiscal year remains unchanged at 5.4%.
6. The real GDP growth rates for Q1FY25, Q2FY25, and Q3FY25 are estimated to be 6.7%, 6.5%, and 6.4%, respectively.
