FICCI welcomes RBI's decision to keep the repo rate unchanged”, Mr Rashesh Shah, President FICCI said commenting on the release of fourth bi-monthly monetary policy statement. This move sends positive signal to the industry and is expected to maintain the momentum in investments seen lately. This was especially important in the wake of tightening financial environment in domestic as well as global market. In fact, investment revival is very important at this juncture, especially when the IBC process is showing that the credit culture in India is changing for the better, which will help not only in handling the existing NPAs, but will also curb the creation of fresh NPAs.

While there is an upside risk to inflation due to oil prices, the recent measures taken by the government including the reduction in excise duties and VAT on fuel should mitigate the inflationary pressure to some extent. We are confident that the government and the RBI will keep a vigil on the volatile global conditions and take appropriate actions to ensure macro-economic stability and enable the country to traverse a firm growth path of 8 per cent plus starting with the current financial year, added Mr Shah.