Home›Bonds & Rates›Central Banks›RBI repo rate seen rising 25 bps at next MPC meeting

RBI repo rate seen rising 25 bps at next MPC meeting

The RBI has held the repo rate at 5.25% since December, and a hike would be its first since February 2023.

Reported · Written up by our desk · Central Banks

LiveMint Markets reports that India’s Reserve Bank of India could increase its repo rate by 25 basis points at its next Monetary Policy Committee meeting on 7 October, amid intensifying inflation risks tied to higher oil prices.

The article says the RBI maintained a neutral stance in August and kept the repo rate unchanged, with the benchmark rate steady at 5.25% since December.

It adds that a move higher would mark the first rate hike since February 2023, when the RBI raised rates by 25 basis points.

LiveMint Markets also notes that India’s retail inflation rose to a 20-month high of 4.82% in August, above the central bank’s 4% target midpoint.

More like this

Sources