RBI’s MPC to focus on supporting growth momentum; 25-bps repo rate cut likely: Report

CareEdge Ratings anticipates the RBI’s MPC to prioritise economic growth, likely implementing a 25-bps repo rate cut in June while maintaining an accommodative stance. Despite declining retail inflation and improved growth figures, persistent external challenges and uneven consumption demand will likely influence the MPC’s cautious approach. The policy statement is expected to be dovish, closely monitoring global developments.