Highlights of RBI monetary policy announcements

Following are the highlights of RBI's monetary policy for 2021-22: * RBI keeps policy rate unchanged for fifth time in a row; repo at 4 pc * Economic growth projection for current fiscal retained at 10.5 pc * RBI to maintain accommodative monetary policy stance to support growth, keep inflation at targeted level * Says recent surge in COVID-19 infections has created uncertainty over economic recovery, focus be on containing virus spread * Projects 26.2 pc and 8.3 pc growth in June and September quarters; 5.4 pc and 6.2 pc in December and March quarters respectively * Retail inflation projection revised to 5 pc in March quarter 2020-21 * Projects retail inflation at 5.2 pc in June and September quarters * Gains from inflation targeting framework of 4 pc (+/- 2 pc) since 2016 reinforced by the retention of the target and the tolerance band by the government for next five years * To ensure ample liquidity in system so that productive sectors get adequate credit * Rs 50,000 crore additional liquidity facility to NABARD, NHB and SIDBI for fresh lending * Will continue to do whatever it takes to preserve stability and to insulate financial firms from global spillovers * Enhances maximum balance limit at end of the day from Rs 1 lakh to Rs 2 lakh per individual customers of payments banks * To set up a committee for comprehensive review of the working of Asset Reconstruction Companies (ARCs).