RBI's decisions progressive, timely: JP Nadda

Describing the RBI's decisions, including lowering the repo rate, as progressive and timely, BJP president JP Nadda said on Friday that its announcements would help the middle class and give strength to the economy amid a 21-day nationwide lockdown to combat coronavirus. "Our Government is taking all necessary actions to help the citizens in this difficult time. Yesterday, Gov announced relief package. Today, in another important step RBI has taken many important decisions to give support and stability to Indian economy," he tweeted.

Noting that the central bank has slashed repo rate, reverse repo rate and cash reserve ratio to give strength to the economy, he said it has also helped the middle class by giving moratorium of three months and also waving interest on EMIs. "I welcome these progressive and timely measures," the BJP president added.

The RBI on Friday allowed banks to put on hold EMI payments on all term loans for three months as it slashed the cost of fresh borrowing by cutting policy interest rate by steepest in more than 11 years, joining the efforts of the government to counter the economic fallout of the fast-spreading coronavirus pandemic.