The Reserve Bank of India's monetary policy committee kept interest rates steady at record lows on Friday, as widely expected, but traders are awaiting comments about inflation and liquidity normalisation for further clues on the outlook.
The Reserve Bank of India's monetary policy committee kept interest rates steady at record lows on Friday, as widely expected, and reiterated the need to unwind pandemic-era stimulus only gradually to aid the nascent economic recovery.
India's retail inflation probably eased again in September, falling to a five-month low, thanks to a favourable comparison with last year and moderating food prices that offset a surge in the cost of crude oil and fuel, a Reuters poll found.
India's monetary policy committee is widely expected to keep the repo rate unchanged to support recovering growth on Friday, but some analysts have cited a slim chance of the Reserve Bank of India delivering a token increase in the reverse repo rate.