ACCORDING TO THE ECONOMICS TIMES
TODAY 03/06/2014
Reserve Bank of India kept key rates unchanged.
While the repo rate was maintained at 8% and reverse repo rate at 7%,
the SLR was cut by 50 basis points.
Rajan kept the policy rate unchanged at 8% at the previous review on April 1 as inflation,
especially of food items, hovered at over 8%.
Food inflation in April stood at 9.66% and retail inflation at 8.59%.
Cuts export credit refinance to 32% of eligible export credit from 50%
Special term repo of 25 basis points to offset export credit cut
Price pressures to remain in May, but seasonal
If economy stays on course, no need for interest rate hike
To allow domestic funds in currency derivatives
Lifts individual USD remittance abroad to $125,000 vs $75,000
Allows all residents and non-residents except citizens
TODAY 03/06/2014
Reserve Bank of India kept key rates unchanged.
While the repo rate was maintained at 8% and reverse repo rate at 7%,
the SLR was cut by 50 basis points.
Rajan kept the policy rate unchanged at 8% at the previous review on April 1 as inflation,
especially of food items, hovered at over 8%.
Food inflation in April stood at 9.66% and retail inflation at 8.59%.
Key measures:
Reduces mandatory government bond holdings 25 basis points
Cuts export credit refinance to 32% of eligible export credit from 50%
Special term repo of 25 basis points to offset export credit cut
Price pressures to remain in May, but seasonal
If economy stays on course, no need for interest rate hike
To allow domestic funds in currency derivatives
Lifts individual USD remittance abroad to $125,000 vs $75,000
Allows all residents and non-residents except citizens
of Pakistan and Bangladesh to take out Indian currency notes
up to Rs. 25,000 while leaving the country.
