Wednesday, April 6, 2016

RBI and Your income

RBI, yesterday, cut the Repo rate by 25 basis points.  But how does it affect you as a Pensioner ?  Yes, TWO major issues !
1.  Bank deposit rates will come down.
2.  Small Savings rate will also come down.

These will affect you. Your earnings from your Bank deposits/Small savings will certainly come down by atleast  0.25 %. That's a serious matter for all Pensioners/ Senior Citizens.

There's another important point RBI has warned the Govt.  Govt is likely to consider this impact making the 7CPC implementation at reduced levels and delayed levels. The reports say : "RBI has warned that the implementation of  7CPC and the impact of  OROP award could lead to a major increase in Consumer Price Index (CPI) inflation. This could lead to a nearly 190 basis points increase in CPI inflation."


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