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RBI October 7 Policy: Experts Predict Rate Hike and Hawkish Commentary
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CNBC TV18•06-10-2026, 12:45
RBI October 7 Policy: Experts Predict Rate Hike and Hawkish Commentary
- •The Reserve Bank of India is widely expected to announce a 25-basis-point rate hike on October 7, with markets having largely priced in the move.
- •Experts emphasize that the central bank's commentary on inflation, liquidity, and future rate trajectories will be crucial for the bond and currency markets.
- •Suyash Choudhary of Bandhan Mutual Fund expects four to five rate hikes, while Arup Rakshit of HDFC Bank anticipates three to four hikes including October.
- •Both experts note that broader inflationary pressures, including global factors and potential El Nino impacts, leave room for further tightening over the coming year.
Key Questions Answered
The Reserve Bank of India is widely expected to deliver a 25-basis-point rate hike on October 7, with the move already largely priced into markets.
Experts expect further rate tightening over the next year, with Arup Rakshit projecting three to four total hikes and Suyash Choudhary anticipating four to five hikes.
Arup Rakshit does not see the rupee crossing ₹97.50 against the US dollar by the end of December.
