After announcing a rate cut of 50 bps, RBI Guv Raghuram Rajan made some noteworthy comments while addressing the press conference, here are five of them.
Reserve Bank of India (RBI) Raghuram Rajan on Tuesday announced a rate cut of 50 bps from 7.25 per cent to 6.75 per cent. Addressing the press conference after making the big announcement, he made some comments which were noteworthy.
Here’s the top five quotes from RBI Governor Raghuram Rajan’s press conference:
1) I don’t know what you want to call me… Santa Claus… you want to call me hawk, I don’t know. I don’t go by this. My name is Raghuram Rajan and I do what I do.
2) We want to make sure that word sustainable and growth go together. Both are are important. And that’s why we used what room we had. But I don’t think we were excessively aggressive. We were not throwing out Diwali bonus,” said the RBI Governor.
3) While the Reserve Bank’s stance will continue to be accommodative, the focus of monetary action for the near term will shift to working with the government to ensure that impediments to banks passing on the bulk of the cumulative 125 basis points cut in the policy rate are removed.
4) The outlook for food inflation could improve if the increase in sown area translates into higher production.
5) Banks should be able to pass on the entire rate cut of 1.25 per cent this year to borrowers over time.
(With inputs from Agencies)