Why RBI is Likely to Maintain Repo Rate in December 2024

The Reserve Bank of India (RBI) is expected to hold the repo rate at 6.5% during its December 6, 2024, Monetary Policy meeting

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Retail inflation surged past 6%, driven by rising food prices, pushing economists to rule out rate cuts soon

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GDP growth fell to 5.4% in Q3, down from 6.7% in Q2, leaving RBI to prioritize inflation control over rate cuts

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RBI's "neutral" policy stance since October reflects its caution, monitoring both inflation and slowing economic growth

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Shaktikanta Das emphasized the risks of premature cuts, favoring stability amidst persistent inflation concerns

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Why RBI is Likely to Maintain Repo Rate in December 2024

The Reserve Bank of India (RBI) is expected to hold the repo rate at 6.5% during its December 6, 2024, Monetary Policy meeting

Retail inflation surged past 6%, driven by rising food prices, pushing economists to rule out rate cuts soon

GDP growth fell to 5.4% in Q3, down from 6.7% in Q2, leaving RBI to prioritize inflation control over rate cuts

RBI's "neutral" policy stance since October reflects its caution, monitoring both inflation and slowing economic growth

Shaktikanta Das emphasized the risks of premature cuts, favoring stability amidst persistent inflation concerns

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