RBI Monetary Policy: Repo rate unchanged at 6.5%, UPI Lite payment limit increased to Rs 500

New Delhi, August 10: The Reserve Bank of India (RBI) is preparing to reveal its bi-monthly monetary policy for the fiscal year 2024 on Thursday.

RBI Governor Shaktikanta Das is slated to formally announce the Monetary Policy Committee's (MPC) decision on Thursday, August 10, at 10:00 am.

The ongoing Monetary Policy Committee meeting, which commenced on August 8, has been under close scrutiny by economists, investors, and financial markets. They are eagerly awaiting the central bank's guidance concerning India's economic trajectory. This meeting holds profound significance within the context of the evolving economic landscape, both within the country and globally.

Amidst persistent uncertainties and shifts worldwide, the RBI's stance on monetary policy holds considerable sway over India's economic recovery, the dynamics of inflation, and overall financial stability.

Market experts and analysts are vigilantly observing several factors that could potentially influence the RBI's forthcoming decision. These encompass trends in inflation, the pace of economic growth, global market turbulence, and prospective policy adjustments aimed at addressing emerging challenges.

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RBI maintains unchanged repo rate in third consecutive policy meeting

Mumbai, August 10: The Reserve Bank of India (RBI) announced its decision to maintain the repo rate at 6.5 percent during its three-day monetary policy committee meeting, aligning with the expectations of most financial markets. RBI Governor Shaktikanta Das stated during a press conference on Thursday, "The Monetary Policy Committee unanimously decided to keep the Repo Rate unchanged at 6.50%."

#WATCH | RBI Governor Shaktikanta Das says "Our economy has continued to grow at a reasonable pace becoming the 5th largest economy in the world, contributing around 15% to global growth" pic.twitter.com/QKK2fJHsdu — ANI (@ANI) August 10, 2023

Traditionally, RBI holds six bi-monthly meetings within a financial year to determine interest rates, money supply, inflation forecasts, and various macroeconomic indicators. The ongoing three-day meeting marks the third session of the 2023-24 period, beginning on Tuesday. In its preceding meeting held in early June, the central bank's monetary policy committee also unanimously opted to maintain the repo rate at 6.5 percent, aligning with the expectations of most analysts. In the April meeting, the RBI had similarly paused the repo rate. The repo rate signifies the interest rate at which the RBI lends to other banks.

- ANI