The Federal Reserve Bank of India estimates GDP growth to be 10.5 per cent in 2021-22, said RBI Governor Shaktikanta Das during the MPC meet announcements on Friday. this is often the primary monetary policy announcement after the presentation of the Union Budget on February 1.
Governor Das said that the necessity of the hour is to continue supporting growth. "While the year 2020 tested our capabilities and endurance, 2021 is setting the stage for a replacement economic era within the course of our history," he said.
The RBI Governor said that 2021 has begun on a robust note which it's set the stage for a replacement economic era.RBI's estimate is in line with the pre-Budget Economic Survey that predicted a 'V-shaped' recovery that said that the Indian economy will rebound with 11 per cent growth within the next fiscal year .
The RBI also kept repo rate unchanged at 4 per cent. Repo rate has been kept unchanged for the fourth time during a row. Reverse repo rate too was kept unchanged at 3.35 per cent. The financial institution also will maintain an accommodative monetary policy stance so as to support growth. "Central bank will maintain accommodative monetary policy stance to support growth, keep inflation at the targeted level," said RBI Governor Das.