RBI Governor Sanjay Malhotra said the Reserve Bank of India’s Monetary Policy Committee (MPC) will reassess the dynamics of economic growth and inflation at its next meeting, scheduled for next month. This review is prompted by rising crude oil prices amid the ongoing West Asia crisis, which could influence the inflation outlook. The Governor noted that the impact on inflation depends on how higher crude oil prices are transmitted throughout the economy and passed on to consumers.
The MPC’s assessment will consider the evolving growth and inflation situation, evaluating the effects of changing crude oil prices and other economic factors. This reassessment is expected to guide the RBI’s future monetary policy, balancing growth objectives with maintaining price stability.
Governor Malhotra also shared details on the Foreign Currency Non-Resident (Bank), or FCNR(B), deposits mobilised under the RBI’s recently concluded forex swap facility. The facility attracted total inflows of $127.22 billion, with nearly 50% of the deposits having a five-year tenor.
