While every monetary policy is typically assessed through five key factors, this time the backdrop is notably different with six key factors as macroeconomic conditions have strengthened on the GDP growth and inflation fronts, making a rate-cut call more challenging. Instead, the depreciation of the Indian rupee and the Reserve Bank of India’s commentary on currency movements are expected to command greater focus in the upcoming policy deliberations.
A Moneycontrol poll of economists, treasury heads and fund managers said that the RBI’s MPC is likely to cut repo rate by 25 basis points (bps) in the upcoming monetary policy due to the comfort provided by the lowest ever Consumer Price Index (CPI) inflation in the last two months. Is rate cut a tough call?
The Reserve Bank of India’s fi

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