The RBI monetary policy announced by RBI Governor Shaktikanta Das on Friday left interest rates unchanged for the fourth time in a row. The short-term lending rate (repo) stands at 4 percent. While deciding to continue with an accommodative stance as long as necessary. The reverse repo rate has been maintained at 3.35 percent.
The monetary policy stance is to support growth and this is the need of the hour, said Dinesh Kumar Khara, Chairman of State Bank of India (SBI) while talking about the policy.
Speaking in an interview to CNBC-TV18, Khara said, “The stance of the monetary policy is to support the growth and to that extent perhaps this is the need for the hour at this point of time when the economy is recovering from COVID. It’s a positive situation where the growth impetus has been maintained in today’s policy.”
On the liquidity front, he said, The RBI will be closely monitoring the situation of the liquidity in the market and whatever would be the requirement at that point of time, I am sure they will be acting on.”
Talking about Q3FY21 numbers, the chairman said, “We are hopeful that loan growth will pick up from Q2 of FY22 and expect it to be in double digits for next financial year (FY22).”
However, said Khara, our aim is to keep the total restructuring and slippages for FY21 below Rs 60,000 crore.
For the full analysis, watch the video