Reserve Bank of India (RBI) announced Fourth Bi-Monthly Monetary Policy Statement for the financial year 2017-18.
Highlights of the Policy
- Repo rate kept unchanged at 6 percent.
- Reverse repo rate unchanged at 5.75 percent.
- Cuts economic growth forecast to 6.7 percent from 7.3 percent for FY'18
- Projects inflation at 4.2-4.6 percent in the second half.
- GST implementation rendered prospects for the manufacturing sector uncertain in the short term.
- Focus on keeping headline inflation close to 4 percent on a durable basis
- RBI continues to work towards the resolution of stressed corporate exposures in bank balance sheets.
- Recent structural reforms improving the business environment, transparency and increasing formalisation of the economy.
- A concerted drive to restart stalled investment projects, enhance ease of doing business, including simplification of the GST to boost growth.
- Rationalisation of "excessively high" stamp duties charged by states, faster rollout of affordable housing programme.
