ICRA expects RBI to maintain repo rate in August
pre-market1 source ↓written by the desknot a recommendation
- in June
- 4.4%
- in June
- 3.9%
ICRA forecasts that the Reserve Bank of India will keep the repo rate unchanged during the August MPC meeting, despite retail inflation rising to 4.4% in June from 3.9% in May. The decline in crude oil prices has reduced the chances of an immediate rate hike, although caution remains due to ongoing inflationary pressures.
Key Points:
• Retail inflation increased to 4.4%
• Crude oil price decline lowers rate hike probability
• Potential for back-ended rate hikes later in the financial year
Not investment advice. For informational purposes only.