Accelerated Recovery: RBI to maintain accommodative stance, rates (IANS Poll)

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By Rohit Vaid
New Delhi/Mumbai, Dec 1 |
Faster-than-anticipated economic recovery during Q2FY21 along with healthy macro-economic data points will persuade the Reserve Bank of India to maintain the growth-boosting accommodative stance in the upcoming monetary policy review.

On the other hand, persistently high inflation will deter the RBI’s Monetary Policy Committee to administer a dose of lending rate cut.

In a poll conducted by IANS, economists and industry experts cited elevated inflation level as a key determinant for a pause in policy easing.

A policy easing, if administered, would have theoretically allowed commercial banks to reduce their lending rates, thereby helping both consumers and the industry get cheaper finance.

Subsequently, the increased money flow in the hands of the consumers would have helped boost demand, and provided a higher flow of capital investment for the industry on the back of lower cost.

However, this would have also fanned retail inflation which was at an elevated level in the July-October period.

“Despite retail inflation breaching the 6 per cent target, the policy rate is expected to remain in a pause mode in the near term,” Sunil Kumar Sinha, Principal Economist, India Ratings & Research, told IANS.

Previously, the rise in retail inflation had led the RBI’s MPC to hold the interest rates in August and October.

The MPC has maintained the repo — or short-term lending — rate for commercial banks at 4 per cent.

“Considering that CPI inflation remains at an elevated level, the MPC is likely to continue with the pause in the rate. With real interest rates are already in the negative zone, the space for rate reduction is limited at present,” Brickwork Ratings’ Chief Economic Advisor M. Govinda Rao said.

“However, the accommodating stance is likely to continue,” Rao added.

Last month, official data showed that India’s October retail inflation stood at an elevated level.

Sequentially, the Consumer Price Index (CPI), which gauges the retail price inflation, spiked in October to 7.61 per cent from 7.27 per cent in September.

Though non-comparable, India had recorded a retail price inflation of over 3 per cent in the corresponding period of previous year.

As per the data, retail inflation level has breached the upper limit of the medium-term CPI inflation target of 4 per cent. The target is set within a band of (+/-) 2 per cent.

“With inflation at an elevated 7.6 per cent in October, and a faster than expected narrowing in the pace of GDP contraction in Q2FY21, we see no space for a rate cut in this policy review, even though the accommodative stance would continue,” said Aditi Nayar, Principal Economist, ICRA.

Last week, official data showed that India’s GDP contracted 7.5 per cent in the July-September period, as the economy rebounded from a record slump of 23.9 per cent in the previous quarter due to the slowdown caused by the coronavirus pandemic.

“However, the accommodative stance would persist to support the expected economic revival that continues to be threatened by the pandemic,” said Suman Chowdhury, Chief Analytical Officer, Acuite Ratings & Research.

“We believe that balancing the monetary policy under such a challenging environment would prove to be difficult and will need the deployment of all available ‘firepower’ with the RBI,” Chowdhury added.

According to Madhavi Arora, Lead Economist, Emkay Global: “With inflation remaining way above the comfort zone of policymakers, the possibility of further conventional rate cuts is dimming. The market focus will now be on how the RBI manages the liquidity conundrums. Amid high inflation and persistent appreciation pressures on the Indian rupee.”

Notably, the RBI has been credited to have effectively managed the bond yields in the face of the challenges on the fiscal, inflationary and the currency front. Especially, given the fact that 10 year G-Sec yields have moved in a narrow band of 5.8-5.9 per cent during the last two-months.

The RBI’s MPC will release its resolution on the monetary policy on December 4.

(Rohit Vaid can be contacted at rohit.v@ians.in)

Source: IANS

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Meet Gurmeet singh Shunty A New Superhero With Turban

Meet Gurmeet singh Shunty A New Superhero With Turban

In the last year, the whole world was struck by a large pandemic. The year 2020 came with a pandemic called coronavirus which affected the whole world badly. Coronavirus in India resulted in great downfalls in health, economy, unemployment, and so on. Lakhs of People Lost their lives, jobs, and their loved ones. The whole year was very disturbing for each section of society. Coronavirus in India resulted in great downfalls of health, economy, unemployment, and so on. The whole year passed with a large Tension and fear for all the peoples. In the hard times of coronavirus spread, a lot of peoples came out and helped the person in need and It is one of the very few positive effects of Covid-19.

During the blast of the Covid-19 pandemic in the world our volunteers have demonstrated an exceptional display of solidarity across the world and our society. However, this is also the year which witnessed the world coming together to fight coronavirus. The year with its share of trials and tribulations threw up some exemplary work being done by organisations and individuals in this difficult time as the pandemic spread, a new breed of warriors with an indomitable spirit stood up bravely against it to take on the challenge head on.

In the hard times of lockdown, a lot of peoples came out and helped the person in need and It helped the society to live again with a hope of being helped in bad time. During the Large spread of the Covid-19 pandemic in the world our leaders of the society have demonstrated an exceptional display of solidarity across the world and in our society too. They did a Great work in every aspect needed at that time, from Responding to calls for help from their local communities to help them by going on roads, they are everyday heroes who came as a preserver for them.

They do wear masks and face shields to protect themselves and spread awareness in the society to follow each rule and regulation. We can say that there are many things which has spread faster than the coronavirus during the pandemic, it has been the noble works, fearless steps, selfless service and recognition of Gurmeet Ji and his supporters who continued to work day and night to save other’s lives. He also set up camps and volunteer help alongside highways and by roadsides, just to provide relief and support the migrant workers going back to their places all over India.

Among the Great hidden heroes who worked day and night to fight during lockdown, one such person is Gurmeet Singh shunty ji, who is the ex general secretary of delhi sikh gurudwara committee.Being at such great post he always learned to do sewa and that teaching has been always with him which dedicated him towards the society to work for the people of his own nation and humanity. Gurmeet Ji worked 24×7 , without caring of himself. He is the person who have been stepping in to help during the pandemic and they all have been a portrait of selflessness and optimism to this society.

Gurmeet Ji believe that our selfless acts or Sewa in any form must be done to save humanity, Sewa require a true heart and helping nature which will bring both helper and victim happy. During the tough times of coronavirus, Gurmeet Ji and his volunteers came out of their comfort zones to help lakhs of migrants workers who wanted to go back to their hometown during the COVID-19 lockdown. So in that  time  when the world undergoes such vast pandemics which affects all the person Whether it’s a small or large donation of money, resource or humanity, each things matter.

During the tough times of coronavirus, when everyone was thinking of themselves First, Gurmeet Ji and his volunteers came out of their comfort zones to help lakhs of migrants workers who wanted to go back to their hometown during the COVID-19 lockdown.Despite of being older in age,He did not let himself to be inside house and watch news of the suffering surroundings but he helped as many people as he could during the crisis by arranging food, buses, trains and most importantly by giving a warmth of love and care.He created a large team just to help the peoples in problem and inspired many others to do so. We can say that there are many things which has spread faster than the coronavirus during the pandemic, it has been the noble works, fearless steps, selfless service and recognition of Gurmeet Ji and his supporters who continued to work day and night to save other’s lives by risking his own and his family’s health. They didn’t even meet their family members and specially children for months,for their Safety and some even spend nights in their vehicles and outside home to assure that the virus doesn’t spread further to their loved ones and family members. Government took various steps to save our nation from the bad impacts of corona spread and one of them was lockdown. Lockdown was done to stop the spread the corona in nation but it resulted in great losses.when lots of People were on Roads, lots have nothing to eat and some were not having anyone for their care, without any money and food thousands of People covered thousands of kms on their feets, with their families and whatever they had earned in their lifetime, there comes some unknown super heroes of our society who helped them selflessly.

Their faces get rashed by the mask marks, they continuously took medicines to save themselves and others too. They maintain distance from their own members in order to help other persons to reach their destinations. In the bad times we get to know about many such People and These are the people who are helping in restoring humanity’s faith by coming up with novel ideas and their great works which inspires whole society to come ahead. That was the time when a number of labourers, their children and other family members were forced to return back to their places but Gurmeet Ji risked his life to save theirs.He started his service with providing cooked food as langar sewa and later switched to dry rations too, with the objective that people in need should not go to sleep on an empty stomach and they must not loose their hearts and continue their journey with less problems. It’s very hard to find such person in this crucial time when everyone put themselves first but Gurmeet Ji believe in his teachings and said “our panth has taught us the lesson of jan sewa, and we will continue this legacy till our last breathe.”

All the people who helped any of the person in need will be in their memory for forever as they made them believe on brotherhood and humanity in such a Crisis. It is beleived that in when some person get trapped in trouble even your shadow leave your side but the persons like Gurmeet Ji taught each and every person of society that we Must help each other to maintain love and care in society which will make then believe in the existence of god. If God has given you the power and resources to help others you must move forward as your one step can change anybody’s life.Gurmeet ji said that “our great sangat give us the teachings of sharing whatever less or more you have and These teachings which I started learning since my childhood inspired me to help my brothers and sisters of this society. ” He further added that he feel so happy and blessed that he could be the reason of anyone’s little smile. He requested everyone that even Your small step can save someone’s life and make them beleive into humanity and brotherhood.He started his service with providing cooked food as langar sewa and later

 

switched to dry rations too, with the objective that people in need should not go to sleep on an empty stomach and they must not loose their hearts and continue their journey with less problems.

He also set up camps and volunteer help alongside highways and by roadsides, just to provide relief and support the migrant workers going back to their places in UP, Bihar and even farther. It was clearly seen during the pandemic when thousands of people were going towards their villages with their small children and had nothing to feed them, at that time Gurmeet Ji provided them food ,water and other necessary items which brought  beautiful smiles and tears of happiness in their eyes as they never expected that in this crucial time there could be someone who will act as a survival medium for them.

At that time many warriors came in the front line to help the society. Despite being senior in age Gurmeet singh Shunty ji, was the Person who came out of the house when everyone was locked. He was standing in the crowd to help them reach their houses and made  very hard decisions at the right time.

We need to Recognise these Heroes so that they could work more and more for the welfare of this society. We need to Recognise these unsung Heroes so that they could work more and more for this society as “this society is all about give and take.”  They have given millions of smiles and its our time.They must be appreciated for their noble works to boost such works of brotherhood. They have given millions of smiles and its our time to pay them back.

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