New Delhi:  Reserve Bank of India's bi-monthly Monetary Policy Committee (MPC) voted unanimously to keep repo rates unchanged at 4 per cent, announced RBI governor Shaktikanta Das on Friday after conclusion of its three-day meeting. Reverse repo rate was kept unchanged at 3.35 per cent. 


"The RBI has successfully navigated through turbulent waters and responded with resolute measures through the three waves of the pandemic. Now two years later, the golbal economy has seen tectonic shifts beginning Febaruary 24 with commencement of the war in  Europe and followed by sanctions. Conflict in Europe has the potential to derail the global economy," said Das while announcing the first monetary policy of the new financial year 2022-23.


The MPC headed by Das began its bi-monthly review on April 6 amid the ongoing Ukraine-Russian conflict and surging global oil prices.


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The inflation forecast for the fiscal 2022-23 has been raised to 5.7 per cent against the previous estimate of 4.5 per cent.


The country's GDP growth projection has been downgraded to 7.2 per cent for FY23, from 7.8 per cent forecasted after the previous MPC meet.


Forex reserves stand at $606.5 Billion as on April 1, said the governor. Indian merchandise exports grew robustly in 2021-22 overshooting targets of $400 billion, he added.


"Despite sharp jump in crude oil prices, we expect the current account deficit to remain at sustainable levels," said the RBI governor. "MPC also voted unanimously to keep stance accommodative. Our approach needs to be cautious but proactive," added Das. 


The RBI has proposed to make cardless cash withdrawal facility available at all ATMs across all banks in India.


Robust rabi crop should support rural demand; pickup in contact-intensive services to help boost urban demand, noted governor. Global crude oil prices remain volatile at elevated levels


"We are introducing Standing Deposit Facility (SDF) to provide symmetry to the operating framework of monetary policy. RBI will introduce SDF as the floor for the LAF corridor. SDF to have 3.75 percent interest rate. Access to SDF, MSF will be at the discretion of the banks," added Das.


SDF, MSF will be available from 5:30 pm till midnight all days of the week. Money market opening time restore to 9:00 am, which is the pre-pandemic time.


Meanwhile higher cost of food items and manufactured goods like clothing and footwear, kept retail inflation in February above the six-per cent-mark on a sequential as well as on a year-on-year basis. Furthermore, as per the official data, the inflation rate for fuel and light was higher by 8.73 per cent.


Fuel prices have witnessed Rs 10 per litre increase each in 16 days. Petrol prices have zoomed past Rs100 a litre mark in major cities while diesel is above that level in states including Maharashtra, Andhra Pradesh, Odisha, Chhattisgarh, Telangana, Madhya Pradesh, Bihar, Jharkhand, Tamil Nadu and Kerala.