Friday, December 4, 2020
RBI kept key interest rates steady as widely expected today(4th December 2020) amid persistently high inflation but said it will ensure ample liquidity is provided to stressed sectors to keep a nascent economic recovery on track.
Its monetary policy committee decided to retain an accommodative policy stance at least for the current financial year and into the next year to revive growth on a durable basis while ensuring that inflation remains within the target, Governor Shaktikanta Das said in an online briefing.
Das said the economy was rebounding faster than expected from a coronavirus-induced slump earlier in the year but warned signs of recovery were far from being broad-based. Covid-19 infections are also continuing to climb. Das said MPC members voted unanimously to hold rates and retain the stance. The key lending rate of the RBI or the repo rate was left unchanged at 4 percent while the reverse repo rate or the key borrowing rate stayed at 3.35 percent.
