Lower repo rate expected to boost lending growth
after close1 source ↓written by the desknot a recommendation
- this year
- 125 bps
- during FY10-12
- 18.8%
The repo rate has been lowered by 125 bps this year, leading to expectations of increased bank lending. Historical data indicates that credit growth often surged following repo rate hikes, averaging 18.8% during FY10-12. However, past rate cuts have not consistently spurred credit growth, raising questions about future lending trends.
Not investment advice. For informational purposes only.