MPC Meet Live Updates: RBI keeps repo rate unchanged at 4%; revises inflation target to 5% in Q4

RBI Governor Shaktikanta Das-headed rate-setting panel MPC kept the key lending rates unchanged amid a sudden surge in COVID-19 cases across the country. The panel also decided to retain its 'accommodative' policy stance. The projection of real GDP growth for 2021-22 has been retained at 10.5 per cent. The projection for CPI inflation has been revised to 5 per cent in Q4 of 2021 and 5.2 per cent in Q1 2021-22.

Catch all the live updates on the RBI MPC policy announcement on BusinessToday.In Live blog

10.30 AM: MPC Meet announcements

• The RBI Governor says the central bank will set up a committee to study working of asset reconstruction companies to fully realise their potential.
• The RBI expands RTGS and NEFT facilities to prepaid payment instruments and white lebel ATMs.
• The RBI extends bank lending to NBFCs for on-lending to PSL till September 30.

10.23 AM: The central bank to ensure ample liquidity in system so that productive sector gets adequate credit, says RBI governor 

10.22 AM: Reserve Bank of India will support the market with adequate liquidity. Fresh lending of Rs 50,000 crores will be provided to all India financial institutions, says Shaktikanta Das

10.19 AM: Growth estimate for FY22: 10.05%

• Real GDP growth forecast for Q1FY22: 22.6 per cent
• Real GDP growth forecast for Q2FY22: 8.3 per cent
• Real GDP growth forecast for Q3FY22: 5.4 per cent
• Real GDP growth forecast for Q4FY22: 6.2 per cent

10.18 AM: The RBI increases TLTRO scheme by six more months till September 30

• The RBI to ensure liquidity support of Rs 50,000 crore in fresh lending in FY22.
• The RBI announces Rs 25,000 crore to NABARD, RS 10,000 crore to NHB and Rs 15,000 crore to SIDBI

10.15 AM: The projection for CPI inflation has been revised to 5% in Q4 of 2021, 5.2%, in Q1 of 2021-22, 5.2% also in Q2 of 2021-22, 4.4% in Q3, and 5.1% in Q4 with risks broadly balanced, says Shaktikanta Das

10.14 AM: On March 31, 2021, the government retained the inflation target at 4 per cent with the lower and upper tolerance levels of 2 per cent and 6 per cent, respectively, for the next five years that is from April 2021 to March 2026, says Shaktikanta Das

10.13 AM: The RBI Governor announces Secondary Market G-Sec Acquisition Programme 1.0 to ensure orderly evolution of the yield curve.

• RBI to buy Rs 25,000 crore of G-Secs on April 15 under G-SAP
• RBI to buy Rs 1 lakh crore of G-Secs under G-SAP in Q1

10.12 AM: The recent surge in COVID19 cases adds uncertainty to the domestic growth outlook amid tightening of restrictions by some state governments: RBI Governor Shaktikanta Das

10.11 AM: The projection of real GDP growth for 2021-22 is retained at 10.5%, says Das

10.10 AM: The RBI governor says public investment in major infrastructure projects is key to ensure economic growth in the longer term. He said economic activity is normalising the rise in Covid-19 cases. He also said that companies surveyed in March have raised hopes for the current fiscal year.

10.09 AM: On the issue of inflation, the RBI governor says cereal prices could soften in the months to come. Mitigation of inflation will depend on supply side measures and easing of international prices. 

10.07 AM: RBI Governor Das says India's vaccine distribution programme and its effect on the ground are two major factors that will determine the global economic recovery

10.05 AM: RBI Governor Shaktikanta Das says:

• MPC voted unanimously to keep the status quo on repo rate
• The MPC will remain accommodative as long as necessary to sustain grwoth

10.04 AM: RBI keeps repo rate unchanged at 4%, maintains accommodative stance; Reverse repo rate stands at 3.35%

10.03 AM: The RBI's MPC decides to keep repo rate unchanged. 

10.02 AM: The Reserve Bank of India's Monetary Policy Committee decides to retain its 'accommodative' policy stance