RBI May Go For 75 Bps Rate Cut This Fiscal

SBI research ecowrap predicts 75 basis points rate cut this fiscal.

- TDG NETWORK

Experts believe that CPI inflation will be 3.9 per cent in the fourth quarter of FY25 and will average at 4.7 per cent for the entire year.

However, looking ahead to FY26, inflation is expected to remain between 4.0 per cent and 4.2 per cent, with core inflation ranging from 4.2 per cent to 4.4 per cent.

Given this trend, analysts anticipate at least a 75-basis-point rate cut during this cycle, with back-to-back reductions expected in April and June 2025. Another round of rate cuts could follow in October 2025.