RBI likely to prioritize liquidity tools over rate hikes
pre-market1 source ↓written by the desknot a recommendation
- during its meeting
- 5.25%
- its meeting
- 5 June 2023
The Reserve Bank of India’s Monetary Policy Committee is expected to keep the repo rate unchanged at 5.25% during its meeting on 5 June 2023. A poll of 10 economists indicates a preference for liquidity and regulatory tools to support the rupee amid declining capital inflows, including weaker FDI and FPI. 📉
This approach may ease immediate pressure on the currency without resorting to rate hikes, impacting market sentiment and liquidity conditions.
Not investment advice. For informational purposes only.