RBI Monetary Policy: The Reserve Bank of India has increased the benchmark lending rate for the fourth consecutive time on Friday. This decision has been taken to control inflation. Explain that its decision was made through voting by the members of the Monetary Policy Committee (MPC). The Monetary Policy Committee consisted of three members from RBI and three external members. Members raised the repo rate by 50 basis points to 5.90%. On this, five out of six voting were in favor of the increase.

The key policy rate repo rose 0.50 percent to 5.90 percent, the highest in three years.

The economic growth forecast for the financial year 2022-23 was reduced to seven percent. It was expected to be 7.2 percent in August.

GDP expected to grow at 6.3 per cent in September quarter, 4.6 per cent in December and March quarters.

Inflation forecast for the current financial year retained at 6.7 per cent.

Inflation expected to be above the RBI's satisfactory level of 6 percent by December.

The average price of India's crude oil purchase is expected to be US $ 100 per barrel.

RBI will focus on withdrawing the accommodative monetary policy stance to keep prices under check.

RBI said that the movement of rupee is settled against the US dollar. This year till September 28, there was a decline of just 7.4 percent.

RBI has not fixed any fixed exchange rate for rupee. Market intervention is done to curb excessive volatility.

Foreign exchange reserves fell by 67 percent to $ 537.5 billion as of September 23 this year.

The confidence of the central bank to meet the external sector deficit.

Exports of goods were affected due to external reasons, private consumption is picking up.

If the recent fall in global crude oil prices remains sustainable, there may be relief from inflation.

Bank credit grew at a fast pace of 16.2 percent.

The next meeting of the Monetary Policy Committee will be held in December 5-7.