Now Reading: RBI data shows money supply grew Rs 1.2 lakh crore in fortnight
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RBI data shows money supply grew Rs 1.2 lakh crore in fortnight
The Reserve Bank of India released money supply figures for the fortnight ending July 31, 2026. The data, part of the central bank's monetary and credit information review published on August 13,…
The Story in Brief
The Reserve Bank of India released money supply figures for the fortnight ending July 31, 2026. The data, part of the central bank's monetary and credit information review published on August 13, shows a net increase of Rs 1.2 lakh crore in broad money (M3) over the previous fortnight.
Aggregate deposits with scheduled commercial banks rose by Rs 1.1 lakh crore during the period. Currency in circulation grew by Rs 10,000 crore. The RBI releases this data fortnightly as part of its regular monitoring of liquidity conditions in the banking system.
The Indian Opinion
The headlines will scream 'money printing' again, ignoring that M3 growth largely reflects deposit accretion from rising national income. The story here is the currency component barely moved, suggesting cash demand is stable. Watch the next inflation print: if consumer prices remain below 4%, this expansion is not excessive but merely meeting legitimate credit demand from a growing economy. The question for the MPC is whether to keep rates steady or signal a cut.
Sources (2): rbi.org.in, rbi.org.in (2)
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
