Zee Media Bureau
New Delhi: Reserve Bank Governor Raghuram Rajan on Tuesday exuded confidence of achieving 6 percent inflation target by 2016.
Addressing a press conference soon after announcing the fourth bi-monthly monetary policy, Rajan said that the RBI has taken too many steps to promote growth and development in the financial sector.
Expressing optimism that situation is better than it was in August, Rajan also added that RBI will bring SLR down as government finances improve.
Number of disinflationary forces like low oil prices, in play, the RBI Governor said.
The Reserve Bank of India on Tuesday announced the fourth bimonthly monetary policy review, saying it was keeping policy rates unchanged in a bid to maintain financial and price stability.
The RBI decided to keep the lending rate, or the Repo rate, unchanged at 8 percent, while it retained the short-term borrowing or reverse repo rate at 7 percent and the cash reserve ratio (CRR) at 4 percent.
RBI has retained growth projection for current fiscal at 5.5 percent and said that future policy stance will be influenced by inflation outlook.
