New Delhi:“The monetary policy statement of RBI announcing a 25 basis point rise in repo rate has disappointed industry. Growth has been anemic and investments have been hit hard over the last two years and there are clear signs of contraction in employment opportunities across industries. This has been clearly brought out by several FICCI studies and surveys. While overall IIP has been in the negative terrain in the recent past, interest rate sensitive sectors like consumer durables, automobiles and housing & construction have taken a major hit. At this juncture we need policy support from all directions to get the industrial sector back on track. We hope growth and employment considerations merit greater attention in RBI’s policy decisions in the coming months”, said Sidharth Birla, President, FICCI.
“We also hope that following this policy move by the central bank, banks will not hike the lending rates as this would scuttle any indications of a revival visible in select segments of the economy”, he added.