PR No – 94
7th June, 2024
New Delhi
PHDCCI appreciates the status quo stance of the monetary policy, expecting inflation trajectory to stabilise within RBI band
While appreciating RBI’s decision to maintain a status quo on its policy rate, Shri Sanjeev Agrawal, President, PHD Chamber of Commerce and Industry, said that we are expecting inflation trajectory to stabilise within the target band of RBI and thereafter softening of the policy stance of the monetary policy.
Favourable inflation trajectory and resilient economic growth will create scope for a repo rate cut in the coming times. We expect a repo rate cut as and when headline inflation softens around 4.5% and stabilising between 4 to 4.5%, says industry body PHDCCI.
The continuously accelerating economic growth and softening inflation trajectory, coupled with the status quo in repo rate will lead to high GDP growth in FY2025, said Mr. Agrawal.
A boost in the kharif production backed by forecast of above-normal southwest monsoon, stable rupee and RBI’s commitment to maintaining stability and orderliness in all segments of finance markets and institutions will be favourable for the growth of trade and industry, said Mr Agrawal.
It is highly appreciable that RBI is strategizing to become a model central bank for the global south in the coming times, said Mr Agrawal.
As FY2023-24 GDP was marked with a significantly high growth of 8.2%, the current financial year is also expected to give such surprises on the back of robust economic activity, recovering private consumption, softening inflation and continued traction in investment activity, said Mr Agrawal, President, PHDCCI.
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Warm Regards,
Media Division
PHD Chamber of Commerce and Industry