Here's what happened in the last 8 MPC Meetings

The 35th meeting of the Monetary policy committee, headed by governor (RBI) Shaktinata Das and the six-member committee was held during May 2-4, 2022, high inflation ( due to Russia- Ukraine war)and geopolitical scenarios were the main concerns. 

     Monetary policy committee was formed with the mission of fixing the benchmark policy interest rate (repo rate)to restrain inflation within the particular target level. The RBI  governor controls  the monetary policy decisions with the support and advise of the internal team and technical advisory committee. Governor takes the  main decision related to interest rates. MPC conducts meetings at least 4 times a year and publishes the report. The committee formulates policies to stabilize the business cycle, to provide reasonable price stability, to provide faster economic growth, and exchange rate stability. 

Background of the last 8 meetings:-

May 2-4 , 2022 - RBI hiked repo rate by 40 basis point and cash reserve ratio was increased by 50 Bps , was raised to ensure that inflation will remain within the target and supports growth.

April 6-8, 2022 - MPC decided to keep the policy repo rate unchanged under the liquidity adjustment facility ( LAF is a tool used in monetary policy by RBI that allows banks to borrow money through reverse repo rate ) at 4 percent, while maintaining its accommodative stance( the central bank prepared to expand the money supply to boost economic growth)

February 8-10, 2022- The repo rate rate was unchanged at 4 percent. the reverse repo rate also remained at 3.35 per cent, maintaining its accommodative stance.

December 6-8 , 2021 - The policy repo rate was left unchanged at 4 per cent. the reverse repo rate also remained the same at 3.5 per cent, whereas bank rate was at 4.25 per cent.

October 6-8 , 2021 - the repo rate was at 4 per cent , MPC maintained its accommodative stance to mitigate the impact of covid19 on the economy.

August 4-6 , 2021 - The repo rate was maintained at 4 per cent along with bank rate , which was at 4.25 per cent, it was to ensure inflation remained within target. 

June 2-4 , 2021- Repo rate remained unchanged at 4 per cent and the marginal standing facility( window for banks to borrow from RBI in an emergency when inter-bank liquidity dries up ) rate also remained the same at 4.25 per cent, aiming medium term target for consumer price index.

April 5-7, 2021 - Repo rate unchanged at 4 per cent, reverse repo rate also remained at 3.35 per cent( to ensure growth amid covid 19)