The Reserve Bank of India (RBI) maintained a status quo in its sixth bi-monthly monetary review policy for year 2016 announced today. Keeping the rates unchanged, the apex bank has kept its stance on the credit policy accommodative. The Repo rate is the same at 6.75 per cent as in the last credit policy so is the cash reserve rate (CRR) at 4 per cent and the reverse repo rate at 5.75 percent. The RBI sees FY 16 growth at 7.4 per cent with downward bias and FY17 growth at 7.6 percent despite headwinds. The bank sees inflation around 5 percent for FY 16-17 as a good monsoon next year could pull the inflation down. Inflation has evolved closely along the trajectory set by the monetary policy stance.With unfavourable base effects on the ebb and benign prices of fruits and vegetables and crude oil, the January 2016 target of 6 per cent should be met. Going forward, under the assumption of a normal monsoon and the current level of international crude oil prices and exchange rates, inflation is expected to be inertial and be around 5 per cent by the end of fiscal 2016-17.Vagaries in the spatial and temporal distribution of the monsoon and the impact of adverse geo-political events on commodity prices and financial markets add additional uncertainty to the baseline. The RBI will also create a special eco-system for start-up funding.