FICCI on the RBI monetary policy

Speaking out on India's monetary policy, FICCI president Harshvardhan Neotia said, "Reserve Bank of India has maintained status quo on the policy rates. While this is on expected lines, we do hope that continuous focus of the central bank on improving the transmission of the previous rate cuts into lower lending rates would yield effective results and that we will see a greater pass through going ahead." He added, "The recently announced GDP numbers indicate that the economy has moved to a steady growth trajectory. Further, we expect the capacity utilisation rates to improve as both rural and urban demand will note an up tick on back of good monsoons and the pay commission announcement respectively. As capacity utilisation rates improve and fresh investment plans come on to the drawing board, it will be important to have a supportive monetary policy to sustain the momentum."