Podcast
Questions and Answers
What significant change was made to the RBI's policy stance in the recent monetary policy announcement?
What significant change was made to the RBI's policy stance in the recent monetary policy announcement?
What was the outcome of the MPC's vote regarding the benchmark repo rate?
What was the outcome of the MPC's vote regarding the benchmark repo rate?
Which of the following quarterly GDP growth estimates was modified in the announcement?
Which of the following quarterly GDP growth estimates was modified in the announcement?
What is the unchanged CPI Inflation forecast for FY25?
What is the unchanged CPI Inflation forecast for FY25?
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How many MPC members voted to maintain the status quo during the recent policy meeting?
How many MPC members voted to maintain the status quo during the recent policy meeting?
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Which additional measure was announced to broaden the scope for responsible lending conduct?
Which additional measure was announced to broaden the scope for responsible lending conduct?
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What rate related to the RBI's monetary policy remained unchanged at 6.75%?
What rate related to the RBI's monetary policy remained unchanged at 6.75%?
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What quarterly inflation estimate was cut from 4.4% to 4.1%?
What quarterly inflation estimate was cut from 4.4% to 4.1%?
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Study Notes
Retail Lending Segment
- Loans and advances not covered by Commercial & Industrial (C&IC), Micro, Small & Medium Enterprises (MSME), or Rural & Agricultural segments, and used for personal purposes, are categorized under Retail Lending.
- This includes existing and new products, approved by relevant authorities.
Monetary Policy (October 9, 2024)
- The Reserve Bank of India (RBI) kept the benchmark repo rate unchanged at 6.5%.
- The MPC changed the policy stance to 'Neutral' from 'withdrawal of accommodation'.
- Forecast for FY25 GDP growth remained at 7.2%.
- CPI inflation forecast for FY25 was maintained at 4.5%.
Policy Measures
- Benchmark repo rate unchanged at 6.5%.
- Policy stance changed to 'Neutral' from 'Withdrawal of Accommodation'.
- Standing Deposit Facility (SDF) rate unchanged at 6.25%.
- Marginal Standing Facility (MSF) rate unchanged at 6.75%.
- Bank Rate unchanged at 6.75%.
GDP Growth Estimates
- For FY25, GDP growth estimates remained at 7.2%.
- Q2FY25: 7% (down from 7.2%)
- Q3FY25: 7.4% (up from 7.3%)
- Q4FY25: 7.4% (up from 7.2%)
- Q1FY26: 7.3% (up from 7.2%)
CPI Inflation Forecast
- CPI inflation forecast for FY25 remained at 4.5%.
- Q2FY25: 4.1% (down from 4.4%)
- Q3FY25: 4.8% (up from 4.7%)
- Q4FY25: 4.2% (down from 4.3%)
- Q1FY26: 4.3% (down from 4.4%)
Additional Measures
- Expanded responsible lending conduct norms to include Micro and Small Enterprises (MSEs).
- A discussion paper on funding options for primary (urban) cooperative banks.
- Created a Reserve Bank Climate Risk Information System.
- Increased UPI transaction and wallet limits.
- Introduced a beneficiary account name lookup facility for Real-time Gross Settlement (RTGS) and National Electronic Funds Transfer (NEFT).
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Description
This quiz covers key aspects of retail lending and the monetary policy updates from the Reserve Bank of India as of October 9, 2024. It includes information on interest rates, policy stance changes, and economic forecasts for GDP growth. Test your understanding of these crucial financial concepts!
