(IANS)
The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) on Wednesday in a 5:1 decision increased the repo rate by 35 basis points (bps) to 6.25 per cent to contain inflation.
Chennai, Dec 7: The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) on Wednesday in a 5:1 decision increased the repo rate by 35 basis points (bps) to 6.25 per cent to contain inflation.
The repo rate, also called the policy rate, is the interest at which RBI lends money to the commercial banks.
The RBI Governor Shaktikanta Das, heading the MPC, announced the rate hike and added that the battle against inflation was not over.
With this the MPC has increased the repo rate by 225 points this fiscal.
Pegging the headline inflation at 6.7 per cent for this fiscal, the RBI has also estimated the gross domestic product (GDP) or the economic growth at 6.8 per cent this fiscal.
Das said the Indian economy was resilient and the inflation was moderate.
While the battle against inflation will continue, Das also said the aspect of economic growth will also be kept in mind.
The GDP growth of 6.8 per cent was resilient when the world was experiencing an acute slowdown.
The upward revision in the interest rate was in line with expectations of the economic experts and industry officials.
Reacting to rate hike K. Joseph Thomas, Head Research, Emkay Wealth told IANS: "The 35 bps hike in repo rate takes the base rate to 6.2 5 per cent. This will push the short term rates higher. In line with expectations but the overall stance looks relatively moderate compared to earlier policy pronouncements given the inflation outlook better."
Persistence of inflation due to higher oil prices still remains a risk. Also, the weak Rupee may transmit some inflation into the domestic economy, he said.
He said 10 year benchmark yield may be in a broad range of 7.25 - 7.45 per cent, Thomas added.
"No real surprise with 35 bps indicating that the fight against inflation is not yet over but there is hope of downward trajectory. Therefore not 25 or 50 bps. Growth projections lower at 6.8 per cent and while magnitude is marginal indicates still resilience on balance," Madan Sabnavis, Chief Economist, Bank of Baroda told IAN S.
"These are relevant observations given that the World Bank has scaled up projections just yesterday. Stance continues to be withdrawn which is relevant here as we are still in surplus though lower than three months back," he added.
"There is assurance that RBI will provide liquidity when required as it tracks standing deposit facility (SDF) and variable rate reverse repo (VRRR) balances. On the whole, it is good for markets - Sensex up with announcement. GSec yields up marginally mirroring the rate hike," Sabnavis remarked.
(IANS)
New Delhi, Dec 2: Three Delhi-bound Vistara flights were diverted on Saturday due to low visibility at the Delhi airport.
One flight was diverted to Ahmedabad, while two flights were diverted to Jaipur.
Flight UK954 and Flight UK928 from Mumbai to Delhi (BOM-DEL) were diverted to Jaipur, said Vistara Airlines in a series of posts on X.
According to the posts, Flight UK954 arrived in Jaipur at 8:42 a.m., while Flight UK928 was expected to arrive at 9:45 a.m.
Similarly, Flight UK906 from Ahmedabad to Delhi (AMD-DEL) was diverted to Ahmedabad and was expected to arrive at 10:00 a.m.
"Flight UK906 from Ahmedabad to Delhi (AMD-DEL) has been diverted to Ahmedabad (AMD) due to low visibility at Delhi airport and is expected to arrive in Ahmedabad (AMD) at 1000 hours," said Vistara Airlines in a post on X.
The visibility in several parts of Delhi on Saturday was relatively low, as the air quality in several areas of the national capital was recorded in the 'very poor' category. Multiple areas of the city were also covered with a layer of smog.
As per the Central Pollution Control Board (CPCB), the air quality in Anand Vihar and Ashok Vihar was recorded as 'Very Poor'. Anand Vihar had an AQI reading of 388, while Ashok Vihar had an AQI reading of 386 at 6 a.m. on Saturday.
As per the official data, the AQI reading at Terminal 3 of Indira Gandhi International (IGI) was 375 at 10:00 a.m.
Delhi Environment Minister Gopal Rai said on Wednesday that Grap-3 has been lifted in the national capital but the government is trying to ensure that Grap-1 and 2 are strictly implemented.
The air quality index from 0 to 100 is considered 'good', 100 to 200 'moderate', 200 to 300 'poor', 300 to 400 'very poor' and from 400 to 500 or above 'severe'.
(ANI)
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Bengaluru, December 2: The Indian Premier League (IPL) chairman Arun Dhumal hailed the league as the best 'Make in India' brand post-independence.
Arun Dhumal was speaking during the RCB Innovation Lab's Leaders Meet India in Bengaluru held this week.
While talking about the fan insights and engagement of IPL and its franchises, Dhumal said, "We work as a team with all franchises, we are all partners. We have seen at the recently held World Cup games, that they (fans) were there for Team India, but at the same time, they were rooting for RCB also, which is a great thing and we are very proud of that. Personally, I feel IPL is the best Make in India brand we can think of post-independence."
The media rights for the IPL have grown from Rs 6,000 crores to INR 48,000 crores and the league is only second to the National Football League (NFL) across all sporting leagues in the world. Dhumal believes the widespread popularity and success of the league will act as a catalyst in its evolution over the next 10 years, as per a press release from Royal Challengers Bangalore (RCB).
"If I have to see how it has gone over the last 15 years and if I have to go by estimates going forward, we are expecting media rights to go somewhere close to USD 50 billion by around 2043. Going forward, we need to keep innovating, keep doing better in terms of fan engagement, and keep making it better in terms of the quality of games. Now that cricket is becoming part of the Olympics and with the Women's Premier League taking it to a different level for women's cricket, I see a lot of hope and light at the end of the tunnel.
Because of the way it has been happening for the last 15 years, it is only going to get better," he said.
RCB Innovation Lab's Leaders Meet India brought together the biggest game changers from across the sporting world, offering a truly global perspective on the present and future of the sports industry and how India can become a powerhouse in the business of sports.
Dissecting the role of IPL in earning India a different reputation from the entire world, Dhumal commented, "IPL is the most-watched cricket league in the world. We have fans across the world and when they come to watch, they get to see the diversity and culture of India.
They will watch a match up North down South, East to West, because teams are spread all across the country. We are a very diverse country in terms of different states, different cultures, and different languages being spoken but this is one platform which is rooted so well that you are able to showcase in India to the globe."
(ANI)