LIVE: August 2022 RBI MPC Meeting: Shaktikanta Das, governor of the Reserve Bank of India (RBI), said on Friday that the policy rate will increase by 50 basis points to 5.4%. The Monetary Policy Committee (MPC) agreed to raise the policy rate by 50 basis points to 5.4 percent with immediate effect, according to Das, who made the announcement at the three-day meeting. Additionally, he said that the domestic economy was expanding.
The next bi-monthly monetary policy will be discussed by the Reserve Bank of India’s rate-setting panel over the course of three days. Expectations are for the interest rate to increase by at least 35 basis points to help reduce the country’s high retail inflation. The government and the central bank have both been acting to control inflation, which has been running over the RBI’s comfortable range of 6% since January of this year.
