Low expectation of policy rate cut in annual monetary policy review
Updated: Apr 04, 2013 02:32:05pm
New Delhi, Apr 4 (KNN) The Reserve Bank of India will review the annual Monetary Policy for 2013-14 on May 3 amidst low expectation of revision in policy interest rate.
The RBI last cut the policy rate on March 19 in its mid-quarter review by 25 basis points from 7.75 per cent to 7.50 per cent.
While announcing the rate cuts last time, Reserve Bank of India, Governor, D Subbarao had said, “the headroom for further monetary easing remains quite limited.”
Also, RBI decision to cut interest rates moderately has not translated into reduction in the cost of borrowing.
The Micro, Small and Medium Enterprises often complain of poor access to loans from banks due to high interest rates.
Hitting right on the issue, President of India, Pranab Mukherjee while giving the MSME national awards-2011 on April 3, had called on the financial institutions to increase their reach to industrial clusters for better financial accessibility. (KNN)
The RBI last cut the policy rate on March 19 in its mid-quarter review by 25 basis points from 7.75 per cent to 7.50 per cent.
While announcing the rate cuts last time, Reserve Bank of India, Governor, D Subbarao had said, “the headroom for further monetary easing remains quite limited.”
Also, RBI decision to cut interest rates moderately has not translated into reduction in the cost of borrowing.
The Micro, Small and Medium Enterprises often complain of poor access to loans from banks due to high interest rates.
Hitting right on the issue, President of India, Pranab Mukherjee while giving the MSME national awards-2011 on April 3, had called on the financial institutions to increase their reach to industrial clusters for better financial accessibility. (KNN)
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