The six-member Monetary Policy Committee (MPC) headed by RBI governor Urjit Patel will meet on 1-2 August for the third bi-monthly monetary policy review of 2017-18. More From Livemint »“We expect the MPC to cut repo rate by 25 bps in the August meeting,” the bank said in report. The retail inflation, which the RBI mainly factors in while deciding interest rate, has declined to historical low of 1.54% in June. CII said it “strongly recommends” a rate cut of 50 basis points in the forthcoming monetary policy to provide a fillip to demand. In the MPC, RBI governor Urjit Patel had argued for avoiding “premature policy action” and waiting for more inflation data.

Source: Mint July 16, 2017 06:45 UTC