The hotter-than-expected consumer price inflation data over the past couple of months will be enough to convince a majority of MPC members that conditions are not yet right to begin easing policy. As such, we think the repo rate will remain on hold at 6.50% at the conclusion of the MPC meeting on Friday 6th December. As it stands, RBI Governor Shaktikanta Das is due to step down after that meeting, but it appears highly likely that his term will be extended. That means he would be at the helm to oversee the eventual start of the easing cycle in April.
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