Skip to main content

RBI is done tightening; cuts to come onto agenda soon

We think the MPC will keep policy unchanged at the conclusion of its meeting on Thursday 8th June. And while the door will be kept ajar for a resumption in the hiking cycle over the coming months, we don’t think this will materialise. In fact, with inflation set to remain comfortably within the RBI’s 2-6% target range, the central bank could lay the groundwork for cuts before the end of the year and start delivering them in early 2024, a view that the consensus has come around to.

Become a client to read more

This is premium content that requires an active Capital Economics subscription to view.

Already have an account?

You may already have access to this premium content as part of a paid subscription.

Sign in to read the content in full or get details of how you can access it

Register for free

Sign up for a free account to gain:

  • Unlock additional content
  • Register for Capital Economics events
  • Receive email updates and economist-curated newsletters
  • Request a free trial of our services

Get access