5 Quotes on RBI Policy Review | Market & Industry Experts

RBI monetary policy has fallen much within the expectations of a dovish stance in view of the current crisis and maintains it’s pro-growth outlook. The geopolitical scenario on the global front and soaring inflation have led the RBI to lower its growth forecast to 7.2 per cent from 7.8 per cent and an increase in the inflation forecast for the current FY. However, the strong Indian forex reserves and a stable financial sector is providing some relief to the dismay. The unchanged repo rate will provide more elbow room to the homebuyers and helps in the revival of the realty sector. To curb the uncontrollable inflation, RBI has increased the reverse repo rate and sharp increase in the inflation projection has hinted towards a possible tightening in the near future.

 Subhash Goel, chairman & MD, Goel Ganga Developments

RBI’s effort to keep the repo rate unchanged and maintain an accommodative stance is a welcoming step. This will continue to keep the home loan rates in the lower band, thereby fostering growth and pushing the market in a positive direction. Lowered home loan rates will also help renewed investor interest in the sector, as real estate is a prudent option for risk-averse investors.  Meanwhile, the governing agencies should try to control inflation, otherwise, raw material prices will jump upwards and affect the industry.

 Mr. Ravi Singhal, Vice Chairman, GCL securities Limited

RBI monetary policy is as expected, with the accommodative stance remaining in place. However, the reverse repo rate has been raised, sucking liquidity from the market, but the outlook remains positive because the accommodative stance remains in place.

 Ridhima kansal, Director, Rosemoore

The step by RBI to keep the repo rate unchanged is a prudent initiative, as it will enable banks to continue offering credit at low rates, thereby helping retail consumption. With receding cases, expansive vaccination drives, and a healthy economic outlook, India’s retail sector looks upbeat in FY 23. Meanwhile, the government should try to control inflation, because if not rein, it can soften demand

 Mr. Manoj Dalmia, founder and director, Proficient equities Private limited 

As per RBI announcement, Repo Rate has been kept unchanged at 4 percent. Reverse repo rate at 3.35 percent will also remain unchanged.

Repo Rate was last cut on 22nd May 2020 because of covid-induced lockdown which had a nationwide affect. Rates remains at a historic low of 4 percent since then.

RBI Governor said projected growth of GDP for FY 2023 is at 7.3 %

7.8 % was previously projected. Escalating geopolitical tensions has taken a toll on India’s growth prospects. This is keeping in mind that oil remains at 100 dollars per barrel.  Inflation is projected at 5.7 percent higher than previous expectation of 4.5 percent.