After five rate cuts last year, inflation well above 2%-6% target & govt’s plans to widen its budget deficit, RBI expected to pause for a second meeting.
The RBI implemented a series of five consecutive rate cuts starting February this year by a cumulative 1.35%, a move, governor Shaktikanta Das says, had surprised markets early in the year.
RBI has already cut interest rates by 135 basis points in five moves this year & last week’s weak data gives it added reason to continue pushing for growth.
As bad debt piles up & the budget deficit target goes out of the window, it’ll be tough for RBI Governor Shaktikanta Das to keep all the balls in the air.
Bihar is blessed with a land more fertile for revolutions than any in India. Why has it fallen so far behind then? Constant obsession with politics is at the root of its destruction.
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