RBI Monetary Policy 2022: Repo rate increased for the fourth time in a row, today 0.50% increase, debt becomes expensive.
Due to the ever-increasing inflation, the Reserve Bank has once again announced to increase in the repo rate (RBI Repo Rate Hike) on Friday.
This time the Reserve Bank of India has increased by 50 basis points or 0.50 percent.
This was announced by the Governor of the Reserve Bank of India Shaktikanta Das. With this, the repo rate has now increased to 5.90 percent.
In the press conference, Shaktikanta Das said that these changes will be implemented with immediate effect. This is the fourth increase in interest rates by the central bank this year.
Earlier in August, the repo rate was increased by 50 basis points and the interest rates were increased from 4.90 percent to 5.40 percent.
Due to the increase in the repo rate by the RBI, the interest rates of loans like home, personal and car loans will increase and the EMI will increase.
In order to control the rising inflation in the country, the central bank is continuously increasing the interest rates.
But still, the inflation rate in the country is more than the limit set by the Reserve Bank of India. At present, it is at 7 percent.
RBI Monetary Policy 2022: The loan will be expensive.
With this decision of the Reserve Bank, the loans given by the banks will become more expensive. Actually, many loans of the bank are directly linked to the repo rate.
Therefore, any change in the repo rate reaches the common customer. Due to the increase in policy rates from time to time, home loan rates will now cross 8 percent.
In such a situation, it will become expensive for people to buy a house.
RBI Monetary Policy: GPD will pick up the pace from the first quarter of FY24, estimated to grow at 7.2 percent
On Friday, 30 September 2022, the Reserve Bank of India announced its new monetary policy.
During this, the central bank’s governor Shaktikanta Das estimated India’s GDP to grow at the rate of 7 percent for financial year 23. RBI also told about its estimate for each quarter.
RBI said in its growth estimate that the second quarter of FY23 has seen a growth rate of 6.3 percent.
In the third quarter of the same financial year, it can grow at 4.6 percent and in the fourth quarter also at 4.6 per cent.
Apart from this, Governor Shaktikanta Das also said that the growth momentum of the economy can pick up from the first quarter of FY24. It is expected that it will start running at the rate of 7.2 percent.