Industry welcomes RBI annual policy for balanced approach

Industry bodies have said the RBI annual monetary and credit policy presented on Tuesday is balanced.

Industry bodies said the RBI annual monetary and credit policy presented on Tuesday was balanced.

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Bharat Chamber of Commerce president P R Agarwala said, "the policy has laid adequate focus to ensure a monetary and interest rate environment, high priority to price stability, inflation containment expectations and orderly conditions in financial markets conducive to continuation for growth momentum."

Indian Chamber of Commerce in its reaction said the CRR hike might hamper the growth of automobiles and infrastructure sectors.

BNCCI though praising a few measures of RBI, raised doubts saying, "the decision to hike CRR to 8.25 per cent with effect from the fortnight beginning May 24 alone will not contain inflation. On the other hand, it may affect economic growth which is already showing signs of slowdown."