“The Reserve Bank of India has cut the repo rate by 25 basis points, to support economic growth while balancing the macro and geopolitical factors. Retail inflation has moderated, and the RBI had recently announced liquidity support of Rs 1.5 lakh crore, this could well support its decision to start the monetary easing cycle. Additionally, the recently announced tax relief and benefits in the Union Budget are expected to positively impact the economy by boosting consumption and investment. As a result, loans will become more affordable, providing much-needed relief to individuals. Timely transmission of the rates will be key to make loans affordable.”
