India's first bank rate hike since 2023 signals growing inflation concerns
The hike reflects a global shift towards tighter monetary policy as central banks battle inflation fuelled by Middle East conflict.
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The hike reflects a global shift towards tighter monetary policy as central banks battle inflation fuelled by Middle East conflict.
Indiaโs central bank raised interest rates for the first time in nearly four years and signaled further hikes may be on the table as rising inflation and a weakening currency drive a policy pivot. (Source: Bloomberg)
Rate hike expected; traders eye more liquidity-draining measures and rupee commentary.
The last repo rate hike was in February 2023, when the RBI raised the rate by 0.25% to 6.50%
Sajjid Chinoy, chief India economist for JPMorgan Chase & Co expects the RBI to take an appropriately cautious or hawkish tone to signal to markets that more maybe in the pipeline. He said this in an conversation with Bloomberg Television's Paul Allen. (Source: Bloomberg)