Ahead of the ensuing Monetary Committee meeting, Regulator’s expectations from the Banking sector has been conveyed to the State Run banks, by the Reserve Bank of India Governor Shri Shaktikanta Das.
- The sixth bi-monthly monetary policy for 2018-19 will be announced by RBI on 7th February 2019.
- This meeting was also aimed
- to understand the current banking situation from the bankers and
- The Future outlook and the idea they have in their mind.
- It is expected that there would be a rate cut in the review meeting
- With softer retail and wholesale price-based inflation, there is an expectation that RBI should shift from CALUBRATED TIGHTENING policy stance to NEUTRAL policy in the February meeting.
- The inflation based on the Consumer Price Index (CPI) came down to 18 months low to 2.19 percent in December 2018 which was 2.33 in November 2019 and 5.21 percent in December 2017
- Also, the wholesale price index (WPI) based inflation saw a change easing to an 18-month low to 3.80% in December 2018 compared to 4.64% in November.