Policy rates are highly likely to be left unchanged at the conclusion of the RBI’s upcoming MPC meeting on 6th August, particularly given that inflation now appears to have peaked. Further ahead, we don’t anticipate any tightening for several more months. And when policy normalisation does proceed, it is likely to be gradual, perhaps starting with the slow removal of liquidity support before policy rates are increased.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services