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India: RBI expected to keep rates unchanged this week – UOB

Economist at UOB Group Lee Sue Ann expects the RBI to maintain its policy rate unchanged for the remainder of the year.

Key Quotes

“BI’s decision to keep its benchmark policy rate (7-Day Reverse Repo) unchanged at 5.75% in Feb marked the end of the current hiking cycle, which begun in Aug 2022.”

“Our forecast is for the policy rate to remain unchanged at 5.75% for the rest of this year and for BI to potentially embark on an asymmetric rate cut cycle in 1H24.”

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