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Second Bi-monthly Monetary Policy, 2016-17: Governorís Opening Remarks at the Press Conference

News and Press Release - Dated:- 7-6-2016 - In our monetary policy statement of April 2016, we stated that we would watch macroeconomic and financial developments in the months ahead with a view to responding as space opens up. Incoming data since th .....

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ansion in supply capacity, especially in services, could help offset these upward pressures. Given the uncertainties, the Reserve Bank will stay on hold, but the stance of monetary policy remains accommodative. The Reserve Bank will monitor macroecon .....

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ssues. Timely capital infusions into constrained public sector banks will also aid credit flow. On liquidity, there have been two concerns. First on the maturing of FCNR(B) deposits, our sense is that the leveraged portions of those deposits will not .....

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ome counterparties are apprehensive that they will not be able to deliver easily on the dollars we are owed, and hence there may be some dollar shortage in the market. This is something that we will monitor. We may supply dollars in case of extreme v .....

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