RBI 's continued support for economic recovery is laudable: ASSOCHAM

ASSOCHAM welcomes the announcement by the RBI Monetary Policy Committee to keep the policy interest rates unchanged, given the fledgling nature of the economic recovery from a severe impact of Covid-19 pandemic, said ASSOCHAM Secretary General Mr Deepak Sood.

'We completely agree with the statement of Governor Mr Shaktikanta Das that even as the economic recovery has been regaining traction, it is not yet strong enough to be self-sustaining and durable. Hence, continuing monetary policy support to the growth momentum is of utmost importance, especially when there are signs of pick-up in private investment,' Mr Sood said.

He said though the credit growth remains muted, the industry is able to raise capital from the robust financial markets, thus continuing on the path of resolving the twin balance sheet issue. 'Continued accommodative policy stance by the RBI, along with the fiscal measures and bold reforms by the government have helped the economy deal with the challenging environment with courage and conviction'.

The ASSOCHAM also welcomed the RBI move towards rationalizing the charges for digital payments which have traction with emergence of fintechs and a strong and all-encompassing UPI. With the Covid-19 still raging in several parts of the world, we need to be well-prepared to face it with minimum impact. Impressive pace of vaccination should help boost confidence.

Source : Equity Bulls

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ASSOCHAM RBIMonetaryPolicy