RBI seen cutting repo rate 25 basis points on September 29
BENGALURU (TIP): The Reserve Bank of India is likely to cut interest rates for the fourth time this year at a policy review next week, as falling energy prices have cooled inflation and the economy has slowed, a Reuters poll showed.
Several government policymakers and business leaders have advocated a cut in interest rates to boost economic growth, but the central bank’s priority is to ensure a sustainable reduction in inflation. Forty-five of 51 economists polled this week predicted the repo rate will be cut by 25 basis points to 7.0 percent, a four-year low, at the policy review on September 29.
