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RBI expected to pause rate cut cycle
Highlights
The Reserve Bank is expected to keep key interest rates unchanged in the ensuing policy review meet early next month even as there has been weakening of growth momentum in India.
New Delhi: The Reserve Bank is expected to keep key interest rates unchanged in the ensuing policy review meet early next month even as there has been weakening of growth momentum in India.
According to Dun & Bradstreet, the impact of monsoon on food prices is yet to be realised and could be visible by the end of next month.
Nonetheless, the moderation in demand is likely to keep the overall inflation subdued.
While there has been weakening of growth momentum globally and in India since last year, the business optimism levels now are at a multi-year low raising concerns over revival in growth, said Arun Singh, Chief Economist Dun & Bradstreet India.
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