When will we get relief from expensive EMIs!
When will we get relief from expensive EMIs!
After the Federal Reserve, the central bank of the United States, the RBI in india can also give relief to people from expensive EMIs by cutting interest rates in the coming days. Most economists believe that the RBI can cut interest rates by half a percent i.e. 50 basis points in the next six months, which can start with the Monetary Policy Committee meeting to be held in the month of December. Brokerage house UBS has also predicted a cut in interest rates in December.
Loans will be cheaper by up to 50 percent!
In a Reuters poll, most economists said that the RBI can make loans cheaper by up to 50 basis points in the next six months. However, it will not start with the Monetary Policy Committee meeting (RBI MPC Meeting) to be held in october next month but with the meeting to be held in december 2024. At present, the policy rate of RBI i.e. repo rate is at 6.50 percent, according to the poll of economists, it can come down to 6 percent. In July and August, the retail inflation rate has been below the RBI's tolerance band of 4 percent.
Good news will be received in december 2024!
Economists said, even though the Federal Reserve has cut interest rates by 50 basis points, RBI is in no hurry due to strong economy and stable currency. In a poll of 76 economists, 63 i.e. 80 percent say that RBI will not make any change in the repo rate in the MPC meeting to be held on 7-9 october 2024. While 12 say that the rate can be cut by up to 25 basis points. While one believes that the repo rate can be reduced to 6.15 percent. RBI has not made any change in the repo rate since february 2023.
Inflation is decreasing
Economist suman Chaudhary at Acute Ratings said, like the Fed Reserve, the RBI is not in a hurry to reduce interest rates because the indian economy is very strong. Food inflation is coming down and is expected to be better than last year in the coming days. He said a reduction is possible in december 2024.