The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) is expected to maintain the repo rate at its current level of 6.5 percent for the fourth time in a row, according to leading experts. This forecast comes ahead of the RBI's forthcoming meeting and follows a series of rate increases totaling 250 basis points that took place from May 2022 to February 2023.
Analysts including Umesh Revankar, Shyam Srinivasan, Radhika Rao, Sonal Badhan, and Sakshi Gupta predict that the RBI will likely continue its cautious approach due to potential inflationary pressures. A key factor in this decision is the kharif crop, particularly pulses, which could influence inflation rates.
Recent signs of easing inflation have been observed in vegetable prices and overall inflation rates. These factors are expected to significantly influence the RBI's continued monetary regulation. The detailed insights into these predictions have been provided by Jinit Parmar and Harsh Kumar, industry experts closely monitoring the situation.
The RBI's decision to hold or change the repo rate will be closely watched by investors and economists alike, as it provides crucial insight into the central bank's assessment of India's economic health and its strategy for managing inflation and promoting growth.
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