Monetary Policy Committee to meet on Oct 3-4 for policy review

Mumbai, Sep 30 (KNN) The Monetary Policy Committee (MPC) will meet on October 3 and 4, 2016 for the fourth bi-monthly monetary policy review for 2016-17, RBI said.

The resolution of the MPC will be placed on the website at 2.30 pm on October 4, 2016, it added.

The Central Government on Thursday notified the constitution of Monetary Policy Committee under the Reserve Bank of India Act, 1934.

The Reserve Bank of India Act, 1934 (RBI Act) has been amended by the Finance Act, 2016,  to provide for a statutory and institutionalised framework for a Monetary Policy Committee, for maintaining price stability, while keeping in mind the objective of growth.

The Monetary Policy Committee would be entrusted with the task of fixing the benchmark policy rate (repo rate) required to contain inflation within the specified target level.

A Committee-based approach for determining the Monetary Policy will add lot of value and transparency to monetary policy decisions. The meetings of the Monetary Policy Committee shall be held at least 4 times a year and it shall publish its decisions after each such meeting. (KNN Bureau)