RBI Monetary Policy Review - August 2024

Please see the  RBI's Monetary Policy Review August 2024.

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Key Highlights:

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• The MPC decided to keep the policy repo rate unchanged at 6.50% by 4:2 majority.
• The inflation forecast for FY’25 is 4.5%, same as previous policy guidance.
• For FY’25, the GDP forecast remains the same at 7.2%. However, estimate for Q1 FY’25 revised lower to 7.1%
• Last mile of disinflation may be difficult amid food inflation.

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Outlook:

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• A favourable demand supply scenario may continue to aid downtick in yields especially in the mid to longer end of the duration curve.

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