Description
The PPT about RBI MONETARY POLICES OF 2011-12.
MONETARY POLICY 2011-12
• MAY -3RD 2011 • JULY -25TH 2011 • OCT 25TH 2011 • JAN 24TH 2012
JULY 25TH -- 2011
? Repo rate hiked by 50 bps from 7.5% to 8%. ? Reverse Repo rate stands hiked to 7% from 6.5% (dependent variable on the Repo rate – 100 bps below the Repo rate). ? CRR kept unchanged at 6%. ? SLR kept unchanged at 24%. ? MSF stands calibrated at 9% (100 bps above the Repo rate). Marginal standing facility 3rd ? GDP growth projection for FY 2011-12 kept unchanged at around 8%.
JULY 25TH -- 2011
?FY 2011-12 March end WPI inflation baseline projection revised upwards to 7% from the earlier 6% with an upward bias. ? M3 growth projection revised downwards to 15.5% from 16% and nonfood credit growth at 18% from 19% earlier. ? Bank rate kept unchanged at 6%.
OCT 25TH -- 2011
• Increase policy rates by 25 bps in line with our expectations ? Repo rate increased from 8.25% to 8.5% ? Reverse Repo automatically adjusts to 7.5% from 7.25%. ? Marginal Standing Facility (MSF) Rate at 9.5% ? Bank Rate and Cash Reserve Ratio (CRR) remain at 6% each
OCT 25TH 2011
• Economic Projections ? RBI lowered the growth forecast for 2011-12 from 8% to 7.6% (in line with ourexpectations) ? Inflation forecast is kept at 7% by Mar-12 end. ? Money supply and Credit growth maintained at 15.5% and 18% respectively.
OCT 25TH 2011
• Development and Regulatory Policies ? In a landmark move, RBI deregulated the Savings Bank deposit rate of 4% ? Issue guidelines on cash-settled 2 year and 5 year Interest Rate Futures ? Set up a working group to deepen G-sec and interest rate derivative market
doc_439868104.pptx
The PPT about RBI MONETARY POLICES OF 2011-12.
MONETARY POLICY 2011-12
• MAY -3RD 2011 • JULY -25TH 2011 • OCT 25TH 2011 • JAN 24TH 2012
JULY 25TH -- 2011
? Repo rate hiked by 50 bps from 7.5% to 8%. ? Reverse Repo rate stands hiked to 7% from 6.5% (dependent variable on the Repo rate – 100 bps below the Repo rate). ? CRR kept unchanged at 6%. ? SLR kept unchanged at 24%. ? MSF stands calibrated at 9% (100 bps above the Repo rate). Marginal standing facility 3rd ? GDP growth projection for FY 2011-12 kept unchanged at around 8%.
JULY 25TH -- 2011
?FY 2011-12 March end WPI inflation baseline projection revised upwards to 7% from the earlier 6% with an upward bias. ? M3 growth projection revised downwards to 15.5% from 16% and nonfood credit growth at 18% from 19% earlier. ? Bank rate kept unchanged at 6%.
OCT 25TH -- 2011
• Increase policy rates by 25 bps in line with our expectations ? Repo rate increased from 8.25% to 8.5% ? Reverse Repo automatically adjusts to 7.5% from 7.25%. ? Marginal Standing Facility (MSF) Rate at 9.5% ? Bank Rate and Cash Reserve Ratio (CRR) remain at 6% each
OCT 25TH 2011
• Economic Projections ? RBI lowered the growth forecast for 2011-12 from 8% to 7.6% (in line with ourexpectations) ? Inflation forecast is kept at 7% by Mar-12 end. ? Money supply and Credit growth maintained at 15.5% and 18% respectively.
OCT 25TH 2011
• Development and Regulatory Policies ? In a landmark move, RBI deregulated the Savings Bank deposit rate of 4% ? Issue guidelines on cash-settled 2 year and 5 year Interest Rate Futures ? Set up a working group to deepen G-sec and interest rate derivative market
doc_439868104.pptx