In the June meeting of RBI’s Monetary Policy Committee, it has been decided to increase the repo rate by 0.50 percent to 4.90 percent, so that inflation can be controlled. Meanwhile, Congress spokesperson Supriya Shrinet has questioned the government’s policies regarding income.
He said that the income of 84 percent people decreased and how did the income of 142 people increase from 25 lakh crore to 52 lakh crore? He said that this has happened only because of the policies of the government.
He alleged that it was the government’s failure that it failed to run the economy as it could not balance things. He said that neither the government did Ukraine war nor brought Corona, but before that our GDP had come down from 8.2 percent to 4.1 percent.
At the same time, on the issue of unemployment, he surrounded the central government and said that the first unemployment from Corona was at the height of 45 years. So the government should not resort to Corona and Ukraine. Along with this, he also said, “Unless your mistakes are accepted, how will they be redressed. The truth is that even today private consumption in all aspects of macro economy parameters is less than before and it is being said that macro economy parameters are very good.
What is repo rate?
RBI imposes repo rate to control inflation. The rate at which RBI lends to banks is called repo rate. So if the repo rate increases, then the banks will also provide loans at a higher rate and the EMI of the loans which have already been taken will also become expensive. The effect of the increase in the repo rate, in the coming days, car loans, personal loans, education loans and loans given to the corporate world, from government to private banks of the country, will also be given at higher interest rates.