The Reserve Bank of India (RBI)'s Monetary Policy Committee (MPC) is set to announce its decision on interest rates at 12 pm today. It is widely expected that the central bank will either cut the key rates or keep them unchanged, amid rising inflationary pressure and a grim economic outlook. RBI Governor Shaktikanta Das will address the media at 12.00 pm. The MPC had convened for this three-day meeting on August 4.
In May, the MPC cut the repo rate by 40 bps to 4 percent, the lowest in maintaining. Around two-thirds of economists in expect the central bank to cut the repo rate by another 25 bps, according to a Reuters poll. In May, The MPC cut the repo rate by 40 bps to 4 percent, maintaining its accommodative policy stance. In 2020, the MPC has already slashed the repo rate by 115 bps amid the COVID-19 outbreak and consequent economic fallout.