RBI Governor Shaktikanta Das has said that the Central Bank's Monetary Policy Committee (MPC) clearly believes that there is still scope for a cut in interest rates. For now, it will have to wait for inflation to soften. He said in a program of English newspaper Mint that even though many people may have come in India due to the economic sluggishness over the past year, RBI had long ago started signaling the slowdown in interest rates since February. The cut was started.

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Das said that 2019 was a very unusual year, where no one thought that the pace of economic growth will come down to 5% in the beginning of the year. Last month, the first GDP estimate of the current financial year has said that this year the pace of economic growth of the country can come down to the lowest level of 11 years i.e. 5%. Das said, "It was shocking to everyone. Probably the thing was first noticed by the RBI.” He reiterated once again that the MPC is ready for a liberal approach.

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He said, "This time also the MPC was of the view that there is still scope to cut interest rates. For now, keeping in view the rise in inflation, it was decided to wait.” RBI had cut the repo rate by 1.35% between February and October last year. RBI is facing a double challenge at this time because on one side where there is an environment of economic slowdown, on the other hand, inflation is increasing.

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