Das says world economy in the eye of a new storm and no one is insulated from it

Updated: Oct 1 2022 11:26AM

Das says world economy in the eye of a new storm and no one is insulated from it

Mumbai, Sep 30 (PTI) The world is in the eye of a new storm but the domestic economy is resilient, is how governor Shaktikanta Das opened his post-policy presser this afternoon, listing the third shock facing the global economy after the pandemic and Ukraine war.

Earlier in the day, the RBI-led monetary policy committee delivered the third straight 50-bps repo rate hike, taking the overall increase in the federal fund rates by 190 bps to 5.90 per cent – the highest since April 2019 and going by all indications, they aren't done yet as inflation remains much above its tolerance level for the eighth month on the trot.

Yet, earlier in the day, the MPC-RBI lowered the growth forecast for the second time to 7 per cent — down from 7.8 per cent in April and 7.2 per cent in August.