Experts Predict 25 Basis Points Cut As RBI Meets

(MENAFN- KNN India) Mumbai, Jun 5 (KNN) As the Reserve Bank of India's Monetary Policy Committee (MPC) meets in Mumbai, many industry leaders are optimistic about a 25 basis points repo rate cut.

With inflation under control and steady economic growth, experts believe this move could boost credit flow to key sectors such as MSMEs, housing, and healthcare.

Suresh Darak, Founder of Bondbazaar, anticipates a rate cut from 6 per cent to 5.75 per cent, adding that this could support growth while maintaining inflation stability. He also noted that the bond market may see gains as interest rates fall.

Amit Suri of AUM Wealth echoed similar sentiments, suggesting that borrowers consider repaying high-interest loans. He stated that floating-rate home loan EMIs may reduce over time, improving household cash flow.

Deepak Aggarwal, Co-founder of Moneyboxx Finance, called for a "calibrated rate cut" to benefit rural MSMEs and NBFCs, which play a crucial role in local economies. He emphasised that inclusive financial support can drive resilience and job creation.

Vimal Nadar of Colliers India believes a rate cut could boost homebuyer confidence, particularly in affordable housing, while also easing borrowing costs for developers.

However, not all agree. Pramod Kathuria, CEO of Easiloan, feels the RBI may hold rates due to concerns over food inflation and uncertain monsoon forecasts.

Similarly, Sahil Lakshmanan of CarePal Money stressed that lower rates could aid the healthcare finance sector by making medical loans more accessible.

Despite differing views, industry consensus leans toward a growth-friendly RBI decision that balances inflation risks with the need to support economic momentum. The policy outcome will be announced on June 6.

(KNN Bureau)

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