Because of these developments and their likely impact on future price developments and expectations, the Monetary Policy Committee went on to say that it had decided to revise its monetary policy stance. Once again, I quote: "It was concluded that a modest increase in interest rates at this stage may avoid later steep increases in rates in order to meet the inflation target."
A large number of MSMEs are ancillary units catering to the needs of large industries, both in the public and private sector. They often face the problem of delayed payments, affecting their cash flow and working capital availability.