Key highlights of RBI's second bi-monthly monetary policy review of FY17

Zee Media Bureau

Mumbai: Reserve Bank of India announced its second bi-monthly policy review for 2016-17 on Tuesday. Following are the key takeaways:

1. Repo rate unchanged at 6.50 percent

2. Status quo maintained for Reverse Repo at 6 percent

3. Cash reserve ratio or CRR remian unchanged at 4%

4. Interest rates on hold, though monetary policy stance remain accommodative

5. Pegs growth forecast at 7.6% for the current fiscal

6. Inflation target kept unchanged at 5% for January 2017 with upward bias

7. Insignificant impact of firming crude oil prices so far

8. Interest rate transmission critical for growth revival

9. Timely capital infusion in PSU banks to aid credit flow

10. Public investment gaining strength, continuing weakness in private investment is a concern.

11. To shortly review the implementation of the Marginal Cost Lending Rate framework by banks