Odisha News, Odisha Latest news, Odisha Daily - OrissaPOST
  • Home
  • Trending
  • State
  • Metro
  • National
  • International
  • Business
  • Feature
  • Entertainment
  • Sports
  • More..
    • Odisha Special
    • Editorial
    • Opinion
    • Careers
    • Sci-Tech
    • Timeout
    • Horoscope
    • Today’s Pic
  • Video
  • Epaper
  • News in Odia
  • Home
  • Trending
  • State
  • Metro
  • National
  • International
  • Business
  • Feature
  • Entertainment
  • Sports
  • More..
    • Odisha Special
    • Editorial
    • Opinion
    • Careers
    • Sci-Tech
    • Timeout
    • Horoscope
    • Today’s Pic
  • Video
  • Epaper
  • News in Odia
No Result
View All Result
OrissaPOST - Odisha Latest news, English Daily -
No Result
View All Result

Economists see RBI delivering another 50 bps hike next week

PTI
Updated: September 23rd, 2022, 18:07 IST
in Business, Home News
0
RBI gets bomb threat
Share on FacebookShare on TwitterShare on WhatsAppShare on Linkedin

Mumbai: Economists are unanimous in forecasting that the Reserve Bank of India (RBI) has no other option but to deliver a 50 bps rate hike next week and take the terminal rate to 6.25 per cent by December. Economists from SBI, UBS, Goldman Sachs, Barclays and Bank of Baroda in a rare unanimous call see the RBI-led monetary policy committee (MPC) delivering a 50 bps hike September 30, taking the overall repo rate increase 290 bps to 5.90 per cent since May this year.

Soumya Kanti Ghosh, the group chief economist at the nation’s largest lender SBI, in a detailed note said Friday, ‘a half-percentage point hike in the repo rate looks imminent in an aggressive response to external shocks’. “We expect the peak repo rate in the cycle at 6.25 per cent. A final rate hike of 35 bps is expected in December policy,” Ghosh said.

Also Read

Encounter

Security forces in gunfight with militants in Kishtwar, Jammu and Kashmir

6 hours ago
Layoff

Job shock: Microsoft announces another round of mass layoff

8 hours ago

Liquidity has become deficit after 40 months which looks like another headwind for the central bank, Ghosh pointed out. He added this may force the RBI to support the market through a change in the CRR and OMOs.

Echoing the views, Tanvee Gupta-Jain, the chief economist at UBS Securities India, said in the base case, she expects the MPC-RBI to front-load the rate hike cycle and raise the repo rate by another 50 bps (versus 35 bps previously) next week taking the terminal repo rate to 6.25 per cent (previously 6 per cent) by December.

On the positive side, Tanvee said the large current account deficit, elevated CPI inflation and a stretched fiscal position are mostly led by supply-side factors rather than easy credit conditions pushing domestic demand.

Rahul Bajoria, the chief economist at Barclays India also raised the repo rate forecast to a 50 bps hike next week (35 bps previously) and a 35 bps hike in the December meeting (25 bps previously), with upside risk to the forecast if commodity prices are higher in Q4.

“We now expect 50 bps of further rate hikes in 2023 (75 bps previously) which would take the repo rate to 6.75 per cent by April 2023,” Bajoria stated.

Madan Sabnavis, the chief economist at Bank of Baroda (BoB) also said the recent developments in the forex market can prompt a higher quantum of 50 bps to stay on track with other markets so as to retain investor interest as a hike of 25-35 bps would have signalled that the RBI is confident that the worst of inflation is over.

Goldman Sachs’ Santanu Sengupta said also pencilled in a 50 bps hike (35 bps previously) and a 35 bps hike in December (25 bps previously), with upside risk to the forecast if commodity prices are higher in Q4.

“We now expect 50 bps of further rate hikes in 2023 (75 bps previously) which would take the repo rate to 6.75 per cent by April 2023,” Sengupta pointed out.

 

Tags: Bank of BarodaECONOMISTHikeInflationRBIRepo rateSBI
ShareTweetSendShare
Suggest A Correction

Enter your email to get our daily news in your inbox.

 

OrissaPOST epaper Sunday POST OrissaPOST epaper

Click Here: Plastic Free Odisha

#MyPaperBagChallenge

Nishikant Rout

December 12, 2019
#MyPaperBagChallenge

Vandana Singh

December 12, 2019
#MyPaperBagChallenge

Priyasha Pradhan

December 12, 2019
#MyPaperBagChallenge

Sitakanta Mohanty

December 12, 2019
#MyPaperBagChallenge

Debasis Mohanty

December 12, 2019
#MyPaperBagChallenge

Akshaya Kumar Dash

December 12, 2019
#MyPaperBagChallenge

Arya Ayushman

December 12, 2019
#MyPaperBagChallenge

Sarfraz Ahmad

December 12, 2019
#MyPaperBagChallenge

Ramakanta Sahoo

December 12, 2019
#MyPaperBagChallenge

Sibarama Khotei

December 12, 2019
#MyPaperBagChallenge

Aishwarya Ranjan Mohanty

December 12, 2019
#MyPaperBagChallenge

Faiza Firdous

December 12, 2019
#MyPaperBagChallenge

Matrumangal Jena

December 12, 2019
#MyPaperBagChallenge

Swarit Praharaj

December 12, 2019
#MyPaperBagChallenge

Chinmay Kumar Routray

December 12, 2019
#MyPaperBagChallenge

Sarmistha Nayak

December 12, 2019
#MyPaperBagChallenge

Shreyanshu Bal

December 12, 2019
#MyPaperBagChallenge

Lopali Pattnaik

December 12, 2019
#MyPaperBagChallenge

Priyabrata Mohanty

December 12, 2019
#MyPaperBagChallenge

Tabish Maaz

December 12, 2019
#MyPaperBagChallenge

Ankita Balabantray

December 12, 2019
#MyPaperBagChallenge

Smitarani Sahoo

December 12, 2019
#MyPaperBagChallenge

Narendra Kumar

December 12, 2019
#MyPaperBagChallenge

Saishree Satyarupa

December 12, 2019
?????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????
#MyPaperBagChallenge

Dibya Ranjan Das

December 12, 2019
#MyPaperBagChallenge

Bijswajit Pradhan

December 12, 2019
#MyPaperBagChallenge

Manas Samanta

December 12, 2019
#MyPaperBagChallenge

Pragyan Priyambada

December 12, 2019
#MyPaperBagChallenge

Subhajyoti Mohanty

December 12, 2019
#MyPaperBagChallenge

Sipra Mishra

December 12, 2019

Archives

Editorial

Hungary Lessons

Hungary
July 2, 2025

Revolting against oppression and seeking freedom is ingrained in human nature, something that a repressive regime finds out sooner or...

Read more

New Democratic Face

Zohran Mamdani
July 1, 2025

US President Donald Trump, who had comfortably defeated his Democratic rival Kamala Harris in the recent presidential election and exuded...

Read more

Proof To Vote

Vote
June 30, 2025

Months ahead of the Assembly polls in Bihar, the Election Commission of India (ECI) on 28 June launched a ‘special...

Read more

Genesis of Jana Sangh

AAKAR PATEL
June 29, 2025

We marked the 50th anniversary of the Emergency a few days ago. Another anniversary, this time the 75th, went relatively...

Read more
  • Home
  • State
  • Metro
  • National
  • International
  • Business
  • Editorial
  • Opinion
  • Sports
  • About Us
  • Advertise
  • Contact Us
  • Jobs
Developed By Ratna Technology

© 2024 All rights Reserved by OrissaPOST

  • News in Odia
  • Orissa POST Epaper
  • Video
  • Home
  • Trending
  • Metro
  • State
  • Odisha Special
  • National
  • International
  • Sports
  • Business
  • Editorial
  • Entertainment
  • Horoscope
  • Careers
  • Feature
  • Today’s Pic
  • Opinion
  • Sci-Tech
  • About Us
  • Contact Us
  • Jobs

© 2024 All rights Reserved by OrissaPOST

    • News in Odia
    • Orissa POST Epaper
    • Video
    • Home
    • Trending
    • Metro
    • State
    • Odisha Special
    • National
    • International
    • Sports
    • Business
    • Editorial
    • Entertainment
    • Horoscope
    • Careers
    • Feature
    • Today’s Pic
    • Opinion
    • Sci-Tech
    • About Us
    • Contact Us
    • Jobs

    © 2024 All rights Reserved by OrissaPOST