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RBI to announce more measures for Re-Shaping the distorted economy

Anurag Bhullar


RBI, in its Macro Economic and Monetary Developments Third Quarter Review, 2008 said that slowing of Indian Economy might lead to more declarations aimed at uplifting the economic scenario.


Among the steps taken so far to correct the crumbling economic state include consecutive cuts announced in repo rate, reverse repo rate and cash reserve ratio (CRR). After the strings of \'slices\', presently the repo rate stands at 4.5 percent; reverse repo has come down to 4.0 percent and CRR has fallen down to 5.5 percent. The key rates have substantially been lowered since October. The Apex bank also informed that due to the stimulus packages that have been declared so far are going to add to the expenditure.


It also expressed likelihood of an increase in consumption demand owing to the measures taken by RBI and Government. Inflation, too is believed to slide down further, as the commodity prices in international markets have eased down.

 
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