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The Reserve Bank of India (RBI) is expected to maintain the policy rate unchanged in the current Monetary Policy Committee (MPC) meeting, with a rate cut of 25 basis points (bps) being seen as a positive surprise, according to Bank of Baroda Economist Sonal Badhan.

Speaking on the possible impact of such a move with ANI, Badhan noted that even if the RBI goes ahead with a 25 bps cut in October, the GDP forecast for FY26 is unlikely to see any revision.

"Even if RBI decides to cut rate by 25bps, GDP forecast for FY26 is likely to remain unchanged as changes to monetary policy usually takes 2-3 quarters to show it's impact on the real economy" she said.

On the central bank's likely stance if it holds rates steady, Badhan highlig

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