RBI may cut interest rates further by 50 bps in 2025, stance to turn accommodative: Bank of Baroda
Bank of India (RBI) may cut interest rates further by 50 basis points (bps) in 2025 and shift its stance from «neutral» to «accommodative,» according to a report by Bank of Baroda.
Delhi Elections Live
Tax calculator
The report suggested that the central bank has entered a rate-cut cycle, and more reductions are expected, though the exact timing remains uncertain.
It said «As RBI embarks upon the rate cut cycle, it can be expected that more cuts are also on the cards, while the timing can be debatable. Cumulatively, we are pricing in 75bps cut in this calendar year».
The RBI recently reduced the repo rate by 25 bps to 6.25 per cent, marking the first rate cut in five years. The decision, taken unanimously by the Monetary Policy Committee (MPC), also lowered the Standing Deposit Facility (SDF) rate to 6 per cent and the Marginal Standing Facility (MSF) rate to 6.5 per cent. Despite the rate cut, the policy stance was retained as «neutral.»
The report projects a cumulative rate cut of 75 bps in 2025. The next policy review in April will assess the economic situation and could lead to another rate reduction or a change in policy stance.
Artificial Intelligence(AI)
Java Programming with ChatGPT: Learn using Generative AI
By — Metla Sudha Sekhar, IT Specialist and Developer
Artificial Intelligence(AI)
Basics of Generative AI: Unveiling Tomorrows Innovations
By — Metla Sudha Sekhar, IT Specialist and Developer
Artificial Intelligence(AI)
Generative AI for Dynamic Java Web Applications with ChatGPT
By — Metla Sudha Sekhar,
