Chambers welcome RBI credit policy
Industry chambers the credit policy announced by Reserve Bank of India (RBI) saying the apex bank had focussed on maintaining price stability as well as providing adequate liquidity in the system.
By PTI |
KOLKATA: Industry chambers the credit policy announced by Reserve Bank of India (RBI) saying the apex bank had focussed on maintaining price stability as well as providing adequate liquidity in the system.
President of Bengal National Chamber of Commerce & Industry (BNCCI) N Palchoudhury said RBI had tried to ensure that the interest rate environment remained conducive to maintain the growth momentum of the country.
She said the increase in non-food credit was a healthy sign but hastened to add that the higher rate of money supply might lead to inflationary pressures.
Aditya Agarwal, president of Merchants' Chamber of Commerce, said the RBI credit policy marked a fine balance between the needs of the growing economy for liquidity and containing the inflationary trend building up due to surge in demand.
He welcomed the RBI decision to treat special purpose vehicles (SPVs) set up for financing infrastructure projects as a financial institution.
Agarwal, however, said RBI did not lay down any guidelines for the services sector.
Bharat Chamber of Commerce president S Rungta said RBI had made a commendable attempt to re-align the monetary policy in line with the current economic scenario.
He said the decision to get the benchmark prime lending rate reviewed by Indian Banks Association (IBA) is laudable as it would ensure appropriate pricing of credit.
The apex bank had also taken steps for better credit delivery mechanism to the SME sector.
Rungta said the step to hike reverse repo rate by 25 basis points would have a restrictive impact
President of Bengal National Chamber of Commerce & Industry (BNCCI) N Palchoudhury said RBI had tried to ensure that the interest rate environment remained conducive to maintain the growth momentum of the country.
She said the increase in non-food credit was a healthy sign but hastened to add that the higher rate of money supply might lead to inflationary pressures.
Aditya Agarwal, president of Merchants' Chamber of Commerce, said the RBI credit policy marked a fine balance between the needs of the growing economy for liquidity and containing the inflationary trend building up due to surge in demand.
He welcomed the RBI decision to treat special purpose vehicles (SPVs) set up for financing infrastructure projects as a financial institution.
Agarwal, however, said RBI did not lay down any guidelines for the services sector.
ADVERTISEMENT
Bharat Chamber of Commerce president S Rungta said RBI had made a commendable attempt to re-align the monetary policy in line with the current economic scenario.
He said the decision to get the benchmark prime lending rate reviewed by Indian Banks Association (IBA) is laudable as it would ensure appropriate pricing of credit.
The apex bank had also taken steps for better credit delivery mechanism to the SME sector.
Rungta said the step to hike reverse repo rate by 25 basis points would have a restrictive impact
ADVERTISEMENT
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
