RBI maintains status quo third time in a row; keeps policy rate unchanged at 4 pc
Mumbai, Dec 4: Concerned over elevated inflation, Reserve Bank of India on Friday decided to leave benchmark interest rate unchanged at 4 per cent but maintained an accommodative stance, implying more rate cuts in the future if need arises to support the economy hit by the COVID-19 pandemic.
The benchmark repurchase (repo) rate has been left unchanged at 4 per cent, Governor Shaktikanta Das said while announcing the decisions taken by the central bank's Monetary Policy Committee (MPC).
Consequently, the reverse repo rate will also continue to earn 3.35 per cent for banks for their deposits kept with Reserve Bank of India (RBI).
He said MPC voted for keeping interest rate unchanged and continued with its accommodative stance to support growth.
The central bank had slashed the repo rate by 115 basis points since late March to support growth.
RBI had last revised its policy rate on May 22, in an off-policy cycle to perk up demand by cutting interest rate to a historic low.
The 26th meeting of the rate-setting MPC with three external members -- Ashima Goyal, Jayanth R Varma and Shashanka Bhide -- began on December 2. This is the second meeting of these members who are appointed for a term of four years.
The government moved the interest rate setting role from the RBI Governor to the six-member MPC in 2016. Half of the panel, headed by the Governor, is made up of external independent members.
MPC has been given the mandate to maintain annual inflation at 4 per cent until March 31, 2021, with an upper tolerance of 6 per cent and a lower tolerance of 2 per cent.
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Fire breaks out in residential building in east Delhi, nine killed
New Delhi (PTI): At least nine people were killed after a fire broke out in a residential building in east Delhi's Vivek Vihar early Sunday, officials said.
The incident was reported around 3.48 am at a four-storey building in Vivek Vihar Phase-I, following which police, fire and disaster management teams rushed to the spot.
According to the police, the blaze engulfed flats on the second, third and fourth floors of the building, prompting a large-scale rescue operation.
The cause of the fire is yet to be ascertained.
"Around 10 to 15 people were rescued from the premises during the firefighting operation. Two of them, who sustained minor injuries, were shifted to the Guru Teg Bahadur Hospital," a senior police officer said.
A total of 12 fire tenders were pressed into service to douse the flames, while teams from the Delhi Disaster Management Authority (DDMA), traffic police and local police assisted in the rescue and evacuation efforts.
Police said the fire was brought under control after several hours.
The identities of the deceased are yet to be ascertained, and efforts are underway to determine the cause of the fire, police said.
Further investigation and proceedings are underway.
