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Repo rate, reverse repo rate remain unchanged, accomodative policy stance to continue: RBI

Reserve Bank of India Governor Shaktikanta Das on Wednesday announced that the key interest rates will remain unchanged and the accommodative policy stance will continue as long as necessary to mitigate the impact of Covid-19 pandemic.

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Shaktikanta Das

Reserve Bank of India Governor Shaktikanta Das on Wednesday announced that the key interest rates will remain unchanged and the accommodative policy stance will continue as long as necessary to mitigate the impact of Covid-19 pandemic.

The six-member Monetary Policy Committee kept the repo rate unchanged at 4 percent and reverse repo rate at 3.35 percent for the fifth time in a row since May.

The central bank Governor said the MPC voted unanimously for the accommodative policy stance and interests rates to maintain growth on a durable basis and continue to mitigate the impact of Covid-19 on the economy while ensuring that inflation remains within the target going forward.

The recent surge in infections has imparted greater uncertainty to the outlook. It needs to be closely watched especially as localised lockdowns could dampen the improvements in the demand conditions and delay the return of normalcy, said the Governor.

At its 3-day review meeting, the MPC has noted that the economic activities are normalising, rural demands remain buoyant, urban demand has gained traction. The committee also expressed concerns over the fresh surge in the number of Covid-19 infections but hopes the vaccination drive will give a fillip to the growth. Taking into consideration all these factors, the MPC has kept the Gross Domestic Product (GDP) growth forecast unchanged at 10.5 percent for FY22, according to the central bank.

In order to support the debt markets, the central bank has announced a new secondary market bond purchase of Rs 1 lakh crore in Q1. As part of the programme, the RBI will commit to purchase a definite amount of government securities to sustain congenial financing conditions, said Das.

The MPC has projected the CPI inflation at 5 percent in Q4FY2, 5.2 percent in Q1FY22, 5.2 percent in Q2, 4.4 percent in Q3 and 5.1 percent in Q4,  noting  that the supply-side pressures on inflation could persist even as demand-side pull remains moderate. 

Read Also: Man, whose mask slipped from nose, beaten mercilessly by policemen in Madhya Pradesh

Meanwhile, the central bank has last cut its policy rates on May 22, 2020 during the first wave of dreaded Covid-19 pandemic. Since March 2020, it has slashed its repo rate by 115 basis points to support the economy amid the coronavirus crisis.

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L.K. Advani turns 99, PM Modi highlights his 2 defining qualities

On L.K. Advani’s 99th birthday, PM Narendra Modi highlighted two qualities he said set the BJP veteran apart — ideological clarity and intellectual sharpness.

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Prime Minister Narendra Modi on Sunday recalled the long political journey of veteran BJP leader and former Deputy Prime Minister L.K. Advani as he turned 99.

Advani, born on November 8, 1927, in Karachi, entered the 100th year of his life on Sunday. In a tribute, Mr Modi highlighted Advani’s contribution to the growth of the Bharatiya Janata Party and described two qualities that, according to him, set the veteran leader apart.

What are Advani’s 2 defining qualities?

According to PM Modi, the first defining quality was ideological clarity and intellectual sharpness.

He said this was reflected in Advani’s speeches, writings and interviews. Modi also noted that the resolutions Advani authored for the Jana Sangh and the BJP remained relevant for study.

The second quality highlighted by the Prime Minister was Advani’s manner of challenging what Modi described as “pseudo-secularism” promoted by a section of the Indian political class over the years.

Modi recalls Advani’s role in BJP’s growth

Modi said Advani played an important role in strengthening the Jana Sangh and subsequently building the BJP.

He recalled that during Advani’s terms as BJP president, the party emerged as the single-largest party in Parliament for the first time in 1996. Modi also credited Advani with nurturing successive generations of party workers and giving the BJP a foundation based on the principle of “Nation First”.

The Prime Minister also recalled the partnership between Advani and former Prime Minister Atal Bihari Vajpayee. He said the two leaders worked together for decades without becoming competitors and together influenced the course of Indian politics.

Advani’s journey from Rajasthan to national politics

Modi recalled Advani’s early work as an RSS pracharak in Rajasthan before he moved to Delhi and became involved in the Jana Sangh.

Advani became chairman of the Delhi Metropolitan Council in 1967, while his parliamentary career began in 1970. He later served as Leader of the Opposition and held key positions in the Union government.

Modi also remembered his association with Advani during the 1991 Lok Sabha election campaign. He said he helped prepare Advani’s papers and assisted him during the campaign when the BJP leader contested from Gandhinagar among two seats.

Modi recalls Emergency, Rath Yatra and Advani’s public life

The Prime Minister described the Emergency as a significant phase in Advani’s life and recalled his experiences during that period.

He also highlighted Advani’s role in the Somnath-to-Ayodhya Rath Yatra and said he had been involved in the initiative from its planning stage through its execution. Modi recalled Advani’s arrest in Bihar during the Yatra and the subsequent political developments in Gujarat.

Beyond politics, Modi described Advani as an avid reader with an interest in cinema, theatre and history. He also recalled Advani’s efforts to remain connected with Sindhi culture and his association with the Sindhu Darshan Puja near Leh.

Advani was awarded Bharat Ratna in 2024

Modi also referred to Advani receiving the Bharat Ratna in 2024, recognising his decades of public service.

Advani, who served as Deputy Prime Minister and Home Minister, has been one of the BJP’s most prominent leaders and played a significant role in the party’s political journey.

Concluding his birthday tribute, Modi wished Advani good health as he entered his 100th year.

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Yogi Adityanath takes a dig at Akhilesh Yadav over Ram Temple visit plan

Yogi Adityanath’s remarks came after the Samajwadi Party announced that Akhilesh Yadav would visit the Ram Temple in Ayodhya on December 12.

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Yogi Adityanath

Uttar Pradesh Chief Minister Yogi Adityanath on Saturday took an apparent swipe at Samajwadi Party chief Akhilesh Yadav over his planned visit to the Ram Temple in Ayodhya, saying those who had fired on Ram devotees should first apologise to them and to the saints.

Yogi made the remarks while addressing the 10th edition of Deepotsav in Ayodhya. He did not name Akhilesh Yadav directly.

Yogi’s remarks come after Akhilesh’s Ayodhya visit plan

The chief minister’s comments came after the Samajwadi Party announced that Akhilesh Yadav would visit the Ram Temple in Ayodhya on December 12. It would be his first visit to the temple since its inauguration, according to the report.

Yogi said those who had earlier neglected and insulted Ayodhya, opened fire on Ram devotees and subjected saints to lathicharge should come to the city only after seeking forgiveness.

“Let them apologise to the devotees of Lord Ram; let them apologise to the saints,” Yogi said, adding that they should repent for their past actions.

Reference to 1990 firing on kar sevaks

Yogi’s remarks referred to the 1990 police firing on kar sevaks during the Ram Janmabhoomi movement. At the time, the Uttar Pradesh government was headed by Mulayam Singh Yadav, Akhilesh Yadav’s father.

The chief minister said those who had once “bloodied” Ayodhya were now remembering the city. He also criticised political leaders over their conduct at religious gatherings, referring to the decorum of a katha.

Akhilesh has not yet visited the Ram Temple

Akhilesh Yadav has visited Ayodhya earlier but has not so far visited the Ram Temple. The SP leader was in the city on October 8 to attend a Bhagwat Katha organised by party leader Pawan Pandey.

According to the report, Akhilesh and his wife, Mainpuri MP Dimple Yadav, are scheduled to offer prayers at the Ram Temple and Hanumangarhi on December 12.

The planned visit comes amid political activity in Ayodhya ahead of the Uttar Pradesh Assembly elections due by February 2027.

Yogi highlights Ayodhya’s transformation

During his Deepotsav address, Yogi also spoke about the changes in Ayodhya and described the city’s transformation as an ideological victory.

He said those who had previously neglected Ayodhya were now witnessing its development. He also said Lord Ram represented India’s national consciousness, culture, values and self-respect.

The chief minister further recalled the Ram Janmabhoomi movement and said Ayodhya had regained the glory for which kar sevaks and saints had struggled.

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Ahead of Diwali, Yogi govt hikes DA by 5% for UP government staff

The Uttar Pradesh government has increased Dearness Allowance by 5 percentage points, taking it from 58% to 63%. The revised rate will benefit lakhs of eligible employees ahead of Diwali.

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Yogi Adityanath

The Uttar Pradesh government has announced a 5 per cent increase in Dearness Allowance (DA) for state government employees ahead of Diwali. With this revision, the DA rate has increased from 58 per cent to 63 per cent, providing financial relief to lakhs of eligible employees across the state.

The revised allowance will be effective from July 1, 2026, according to the government announcement. A government order was also issued on Saturday, November 7.

The enhanced DA will be paid along with employees’ regular November 2026 salaries.

Which employees will benefit from the DA hike?

The decision covers regular state government employees and several other categories of eligible staff.

These include employees of aided educational and technical institutions, regular and full-time employees of urban local bodies, work-charged employees and personnel drawing salaries under University Grants Commission (UGC) pay scales.

The revision is expected to benefit a large section of the Uttar Pradesh workforce ahead of the festive season.

What happens to the DA arrears?

The revised DA rate will apply retrospectively from July 1, 2026. Consequently, employees will also be entitled to arrears for the period preceding the November salary payment.

The government has made provisions for the payment of the arrears for July to October 2026. These amounts will be credited to employees’ provident fund accounts, according to the reported payment arrangements.

The enhanced allowance for November will be reflected in the regular salary for that month.

The decision comes ahead of Diwali and will provide additional financial relief to eligible government employees in Uttar Pradesh.

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