Terming Reserve Bank of India's lean season credit policy as only a measure to calm the panicky markets, Institute of Economic Growth on Tuesday said it expected another Credit Policy soon after the Budget is presented by the Congress-led government.

"The RBI policy appears to me a step to stabilise the markets, especially the stock markets and assure there was no need for panic," IEG director B B Bhattacharya told PTI.

The Monetary and Credit Policy 2004-2005

Stressing that RBIs Monetary Policy usually comes after the presentation of Budget, he said, "There could be probably another Credit Policy depending on what is there in the new Budget."

With the bank rate and repo rate being untouched at their respective levels of 6.0 per cent and 4.5 per cent, he said it pointed out there could be review of these rates after the new government presents its Budget.

Credit rating agency ICRA said keeping these unchanged rates was a "move warranted by current liquidity situation."

As for the GDP growth of 6.5-7.0 per cent estimated for 2004-05, ICRA said though it appears to be "reasonable", the projection of a 5.0 per cent inflation calls for some comment.

A senior fund manager of a mutual fund said he wondered how the central bank could be so optimistic on the price level when the international oil prices had shot up over $41a barrel. Oil prices have come down after the Iraq pipeline was repaired.

RBI Deputy Governor Rakesh Mohan had said in Mumbai that the global uncertainties have the potential to impact inflation.