New Delhi, May 22: RBI Governor Shaktikanta Das at a press conference announced that the GDP growth in 2020-21 is expected to remain in the negative category. It is, however, expected that there would be some pick up in the second half, said Das. In the other major announcement, he said that the repo rate has been slashed by 40 basis point.

The repo rate has been reduced from 4.4 percent to 4 percent. The Reverse repo rate stands reduced to 3.35 percent. This means that loans will also turn cheaper. RBI Slashes Repo Rate by 40 Basis Point to 4%, Reverse Repo at 3.35%; Loans Set to Get Cheaper.

The three-month moratorium that was allowed on term loans and working capitals has been further extended. In view of the extension of the lockdown and the continuing disruption on account of coronavirus,  these measures are being further extended by another three months from June 1 to Aug 31, said Das. 

India's GDP Growth expected to remain negative in 2020-21

Watch Video of RBI Governor Addressing media: 

Some of the other announcements which he made were-Industrial production shrank by close to 17 percent in March with manufacturing activity down by 21 percent. The output of core industries contracted by 6.5 percent. Today's media address was the third presser of the RBI governor in the context of COVID-19 related measures in the last two months. The first one was on March 27 and the second on April 17.

(The above story first appeared on LatestLY on May 22, 2020 10:31 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).