RBI keeps Repo rate, CRR, SLR, Bank rate ...unchanged

RBI keeps Repo rate, CRR, SLR, Bank rate …unchanged

Wednesday 7th February 2018: The Monitory Policy Committee (MPC) of Reserve Bank of India in its sixth Bi-Monthly Statement for 2017-18   kept the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 6.0 per cent.  The MPC reiterated that its commitment to keep headline inflation close to 4 per cent

The policy key rates at present are as under.

CRR (Cash Reserve Ratio)   4.00%
SLR  (Statutory Liquidity Ratio)

With effect from 14.10.2017

Repo Rate   6.00%
Reverse Repo Rate   5.75%
MSF Rate (Marginal Standing Facility Rate)   6.25%
Bank Rate   6.25%


As per present rule, banks are permitted to exceed the limit of 25% in totla investments under HTM category subject to excess investments comprise of SLR securities and total SLR securities held under HTM category are not more than 20.5% of NDTL. In order to align the SLR holdings under HTM category with mandatory SLR, the Apex bank has reduced the HTM category ceiling from 20.5% to 19.5% in a phased manner, i.e. 20 per cent by December 31, 2017 and 19.5 per cent by March 31, 2018.

The MPC in its assessment  observed that the economy is on a recovery path, including early signs of a revival of investment activity.

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