Repo rate steady at 5.25%; RBI flags Hormuz disruptions, energy risks
India’s central bank has kept borrowing costs steady while signalling caution on global risks, even as domestic demand and services activity continue to support economic momentum.
India’s central bank has kept borrowing costs steady while signalling caution on global risks, even as domestic demand and services activity continue to support economic momentum.
Consequently, the standing deposit facility (SDF) rate remains at 5%, and the marginal standing facility (MSF) rate and the Bank Rate remain at 5.50%.
The Reserve Bank of India (RBI) released its bi-monthly monetary policy here on Friday after the Monetary Policy Committee (MPC)…
The RBI is likely to lower the repo rate by 25 basis points attributed to persistent downside surprises in headline Consumer Price Index inflation in its upcoming monetary policy committee meeting, Morgan Stanley in its latest report.
The MPC has also revised the average headline inflation for this year to 2.6 per cent from the earlier projection of 3.7 per cent in June and 3.1 per cent in August.
The RBI Governor Shaktikanta Das, heading the MPC, announced the hike to subdue the inflation.
The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) is expected to raise the policy rate ranging between 35 to 50 basis points (bps) on Friday, experts believe.
The monetary policy committee of the Reserve Bank of India is all set for its bi-monthly review meeting starting today. Like several other central banks, the main focus of the RBI during the three-day-long meet will again remain on containing high inflation.
Faced with sticky inflation and a continued hawkish stance by various central banks, the Reserve Bank of India is likely to raise repo rates by another 50 basis points with an unchanged policy stance when it meets for the next monetary review, global investment and financial services firm Morgan Stanley said.
Hours after the Reserve Bank of India raised key lending rates, or repo rate, by 50 basis points to 4.9 per cent, global financial services company Moody's Analytics said the central bank could hike the repo rate by another 60 to 80 basis points through the rest of the year.
