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MPC split on future rate actions
June 23, 2023
|Mint Mumbai
Members of the central bank’s monetary policy committee (MPC) held differing views on future rate actions, according to the minutes of the latest meeting released on Thursday.
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MUMBAI: While external members were cautious about excessive tightening, insiders prioritised inflation risks.
The MPC had kept the repo rate unchanged for the second straight meeting on 8 June but indicated that monetary condition will continue to be tight as they sought to rein in inflationary pressures further.
“Monetary policy is dangerously close to levels, at which it can inflict significant damage to the economy," said Jayant Varma, external member, and the only one to dissent against the MPC’s decision to maintain the policy stance of withdrawing accommodation.
هذه القصة من طبعة June 23, 2023 من Mint Mumbai.
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