Views of Mr. Dinesh Thakkar (CMD- Angel Broking) on Fifth Bi-Monthly Monetary Policy

Views of Mr. Dinesh Thakkar (CMD- Angel Broking) on Fifth Bi-monthly Monetary Policy:

"The Reserve Bank of India (RBI) maintained status quo on key policy rates in its Monetary Policy review today, which is along expected lines. The RBI has however stated that it would continue to maintain an accommodative policy stance while being cautious on inflation. It targets to contain Consumer Price Index (CPI) based inflation below the 5% mark by March 2017. The central bank also said that it will shortly finalize the methodology for determining the base rate based on marginal cost of funds, which all banks will have to comply with. This could have a short-term negative impact on the net interest margins of banks in the coming quarters."

Source : Equity Bulls

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