The RBI governor says policymakers have to be mindful of the risk of being carried away with a few months of good data and also be watchful of the risk of overtightening
In the last policy meeting of this calendar year, the Reserve Bank of India’s (RBI) six-member rate-setting panel voted unanimously to keep the repo rate unchanged at 6.5 percent and five of the six members voted to remain focussed on the withdrawal of accommodation. The central bank raised its GDP growth forecast from 6.5 percent to 7 percent for FY24. It held its inflation projection at 5.4 percent for the current fiscal year.