AA Edit | RBI 4% inflation goal laudable

Food production in a predominantly rain-fed country could have a huge impact on the economy in both demand and supply sides

RBI hikes policy repo rate by 50 bps, raises inflation forecast to 6.7 per cent

This is the second hike in the policy repo rate since the being of the current financial year

He said the RBI needs to focus on whether credit is reaching the stressed areas of the economy

Stating that recent agriculture reforms have opened new opportunities, the RBI Governor said the farm sector is emerging as a bright spot

RBI Governor Shaktikanta Das extended the moratorium period by another three months from June 1 to August 31 due to lockdown extension

The agenda also included taking stock of interest rate transmission to borrowers by banks and progress on moratorium on loan repayments

The virtual meeting of the finance ministers and central bank governors comes within a fortnight of their last meeting on March 31

He said the decision of RBI was ‘a confirmation of what the party had been forewarning about the state of the economy.’

RBI trims GDP growth forecast for current fiscal to 6.9 per cent from 7 per cent previously predicted.

This is the second high-profile exit from the Reserve Bank of India (RBI) in the last seven months.