Comment by Arundhati Bhattacharya, Chairman, State Bank of India on RBI Policy Announcement

Comment by Arundhati Bhattacharya, Chairman, State Bank of India on RBI policy announcement:

“The RBI move to maintain status-quo was as per market expectations. The policy statement reinforces that any adjustments in repo rate will be data dependent in future, but in the same breath mentions that near-term inflation risks are on the downside and that disinflationary trends are getting entrenched. The announcement of calibrated cut in HTM ceiling to 22% by Sep’15 is a welcome and non-disruptive move. Allowing 5% of NDTL towards calculation of LCR is also a step that helps Banks enormously. The creation of a central repository on frauds will enable banks to have an effective borrower credit history.”