MUMBAI, June 11 -- The Reserve Bank of India (RBI) on 4 June expanded its bonds purchase programme and kept key policy rates at a record low to support economic recovery, even as it downgraded its economic growth forecast amid a devastating second wave of the pandemic.
Governor Shaktikanta Das said the central bank will buy an additional '1.2 trillion of bonds in the September quarter under the Government Securities Acquisition Programme (GSAP) to keep interest rates low and support the government's borrowing programme because of a slowdown in tax collections because of the pandemic.
RBI's six-member monetary policy committee voted to maintain an accommodative monetary policy stance for as long as necessary to revive growth. Reflecting th...