Highlights of RBI's first bi-monthly policy statement for FY'25

Mumbai, Apr 5 (PTI) Following are the highlights of the RBI's first bi-monthly monetary policy statement for 2024-25 fiscal announced by Governor Shaktikanta Das.
    
     * Benchmark interest rate or repo rate kept unchanged at 6.5 pc
     * GDP growth for 2024-25 retained at 7 pc, lower than 7.6 pc last fiscal
     * Retail inflation to average 4.5 pc this fiscal, lower than 5.4 pc in FY24
     * Food price uncertainties to continue to weigh on inflation outlook
     * With rural demand catching up, consumption is expected to support economic growth in FY25
     * Outlook for agriculture, rural activity appears bright, with good rabi wheat crop and improved prospects of kharif crops, due to expected normal monsoon
     * Strong rural demand, moderating inflationary pressures and sustained momentum in manufacturing and services sector to boost private consumption
     * The headwinds from protracted geopolitical tensions and increasing disruptions in trade routes, however, pose risks to the outlook
     * Strong growth momentum, along with GDP projections for 2024-25, gives RBI the policy space to unwaveringly focus on price stability
     * Trading of Sovereign Green Bonds permitted in International Financial Services Centre (IFSC)
     * To launch a mobile app to facilitate retail participation in G-secs
     * To allow cash deposits in banks through UPI
     * Permits non-bank payment system operators to offer CBDC (Central Bank Digital Currency) wallets
     * Net inflows by foreign porfolio investors (FPI) stood at USD 41.6 billion during 2023-24, the second highest level of FPI inflow after 2014-15
     * India continues to be the largest recipient of remittances in the world
     * Current Account Deficit in 2024-25 to remain at a level that is both viable and eminently manageable
     * The Indian rupee remained largely range-bound as compared to its emerging market peers as well as a few advanced economies during 2023-24.
     * INR most stable among major currencies in FY24
     * Next monetary policy committee (MPC) meeting scheduled during June 5 to 7, 2024.

(This story has not been edited by THE WEEK and is auto-generated from PTI)