May 4, 2022: RBI decides to raise repo rate to control inflation

 Webmutichannel:. After four years, the Reserve Bank of India (RBI) raised the repo rate. The repo rate was suddenly increased by 40 basis points. As a result, the new repo rate of the Reserve Bank stands at 4.40 percent. Not only repo rate, cash reserve ratio has been increased by 50 basis points.



The decision to raise the repo rate was taken at the Reserve Bank's monetary policy meeting on Tuesday. The RBI governor today acknowledged that rising inflation was becoming a burden on ordinary people. The only way to control inflation is to raise the repo rate. In this regard, the Governor of the Reserve Bank Shaktikanta Das said that the decision to increase the repo rate was taken unanimously by the Monetary Policy Committee. Of the 12 categories of food items, 9 were up in March. The RBI has taken this decision to control the rise in food prices.

The rise in the RBI's double-digit index on the same day means banks will be more lenient on lending than ever before. As a result, the supply of cash in the market will be controlled to some extent. However, after the announcement of the decision of the Reserve Bank in the stock market called a big collapse. The stock market index fell by about 1300 points in one fell swoop. However, economists are hopeful that the RBI's decision will help keep inflation in check.


2. He called and searched for them on Tuesday. Chief Minister Mamata Banerjee assured to consider the demands of the striking job seekers. This time the job seekers put their trust in him. They decided to call off the hunger strike on Wednesday. However, the type is not being taken up now. A four-member delegation of job seekers will hold a meeting with education department officials at Bikash Bhaban on Thursday. Both sides are hopeful that the problem will be solved there. However, the job seekers said that if the meeting is not fruitful, they will start hunger strike again in the coming days. In other words, the job seekers have made it clear that the movement will continue if the demands are not met.

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