Mumbai, April 21 (Inditop) The following are the highlights of the annual monetary policy review released by the Reserve Bank of India, the country’s central bank, Tuesday:
* Repo rate cut by 25 basis points to 4.75 percent
* Reverse repo rate cut by 25 basis points to 3.25 percent
* Cash reserve ratio remains unchanged
* GDP growth for 2009-10 to be around 6 percent
* GDP growth for 2008-09 at 6.5-6.7 percent
* Annual rate of inflation to be four percent by end of March 31, 2010
* Inflation to turn negative in early part of 2009-10
* Negative inflation may not persist beyond mid-2009-10
* Consumer price inflation to be in positive territory this fiscal
* Banks can open ATMs without prior approval
* Foreign currency convertible bond buyback limit increased to $100 million
* External commercial borrowing ceiling relaxation extended
* Current foreign bank policy to remain, review to happen once world economy recovers
* Money supply growth for 2009-10 forecast at 17 percent
* Government’s market borrowing schemes will infuse liquidity worth Rs.1.2 trillion in first half of 2009-10
