Repo rate may go up 25 bps before a pause: Business Standard policy poll

Some economists say change in stance to neutral on the cards

The Reserve Bank of India’s (RBI’s) Monetary Policy Committee (MPC) is likely to announce a 25-basis-point (bp) increase in the repo rate on Wednesday, in a bid to bring inflation closer to the central bank’s target of 4 per cent, according to economic experts.
 

According to the median of a Business Standard poll comprising 10 respondents, the MPC is seen raising the repo rate to 6.50 per cent in the upcoming meeting, taking the benchmark policy rate to its highest level since February 2019. The mode of the poll also suggested a 25-bp rate hike.
 

The rate-setting panel, according to