New Delhi: Coming on the heels of a growth-oriented Budget, the RBI’s monetary policy review has injected a power-packed accelerator to take Indian economy on a path of robust recovery ensuring stability on inflation, ASSOCHAM Secretary General Mr Deepak Sood said.
“Without changing the benchmark Repo rates, the RBI Monetary Policy has brought in a slew of measures including a revolutionary decision to open the government securities (G-sec) market to retail investors,” Mr Sood said. Despite some inflationary concerns seeping in, the RBI has stayed on course to maintaining ”accommodative stance” on interest in the current financial year and the next fiscal, giving a comfort level to borrowers.
He said the MSME sector has been given a special dispensation, with the RBI giving leeway to the banks to lend more to the crucial sector of the economy, through easing of Cash Reserve Ratio (CRR) norms. ”The unwinding of the Covid-19 related forbearances is being done seamlessly in a least disruptive manner. That is a finesse, worth looking at and appreciating,” Mr Sood said, adding that the RBI has also allayed concerns over the government’s large borrowing programme, crowding in the financial markets.
The ASSOCHAM Secretary General said, the RBI’s growth projection of 10.5 per cent for FY ’22 is marginally lesser than the government estimating it at 11 per cent. We feel that the growth will surprise us on the upside by being much higher, driven by multiple areas.
He said the RBI has recognized a pivotal role being played by the NBFCs and thus has been opening more space for accessing bank funding on lending. This would be a demand booster. Mr Sood said adding the RBI has been ahead of the curve in the fast-evolving economic paradigm in the post pandemic world. “That is a rare distinction,” he said.