The Reserve Bank of India has taken a difficult but nevertheless a right decision, C Rangarajan, chairman of Prime Minister's Economic Advisory Council.
Not only has RBI hinted at rate hike cycle peaking out after this 25 basis point, it has also moved to deregulate savings rate. While this is revolutionary in action, banks could see their cost of funds going up and they might have to take a beating on margins.
The Reserve Bank of India (RBI) raised the key policy rates by 0.25% or 25 basis points while keeping cash reserve ratio (CRR) rate unchanged at 6%.
The Reserve Bank of India (RBI) has raised the benchmark interest rates by quarter of a percent point on Tuesday, while keeping cash reserve ratio (CRR) rate unchanged.
The Reserve Bank of India (RBI) said inflation remains "sticky" even though risks to growth have risen, while weakening investment imperils growth for the next fiscal year, complicating its policymaking task a day before it is expected to raise interest rates.
The Reserve Bank today indicated that it may hike interest rates yet again as inflation, which is hovering around the double-digit mark, is likely to remain high in the next couple of months.
Ahead of the Reserve Bank's mid-year credit policy review tomorrow, a senior Plan panel official today said the interest rate hike will not have any bearing on either inflation or economic growth.
The RBI today released the Macroeconomic and Monetary Developments Second Quarter Review 2011-12. The survey lowered FY12 GDP growth to 7.6% vs 7.9%.
The monetary policy review meeting of the Reserve Bank of India (RBI) is scheduled on October 25. S Raman, chairman and managing director, Canara Bank and Sajjid Chinoy of JP Morgan speaking to CNBC-TV18 citied views and expectations from RBI.
Shailendra Bhandari, managing director and chief executive officer, ING Vysya Bank expects Reserve Bank of India (RBI) to hike interest rate by 25bps in the quarterly review of credit policy scheduled on October 25. But at the same time he expects to see slight easing of RBI's hawkish tone.
Is the monetary policy losing effectiveness? What really is the trigger of this sustained inflation over the past two-three years? Find out from experts on the latest episode of CNBC-TV18's show, Indianomics.
Prime Minister Manmohan Singh today expressed concern over the slowing economy but emphasised that the nation must guard against the mood of negativism.
Prime Minister Manmohan Singh questioned on Saturday whether Asia's third-largest economy will meet an average growth target of 9% annually over the next five years, given economic volatility around the globe.
Ahead of credit policy review, Reserve Bank Governor D Subbarao Friday met Finance Minister Pranab Mukherjee and discussed ways to deal with spiraling prices aggravated by a weak rupee.
The Reserve Bank of India (RBI) is likely to raise interest rates again on Tuesday, but that doesn't necessarily mean it should.
Private economists strongly doubt India can keep its fiscal deficit for the current year from breaching the target in the budget. The Finance Ministry is serious about trying to prove them wrong.
Prithvi Haldea, chairman and managing director of Prime Database joins CNBC-TV18 to make sense of where the government's divestment plan is headed and what to expect going forward.
India's end-March headline inflation is seen lower than 8% and prices are expected to soften from December, Deputy Chairman of the Planning Commission Montek Singh Ahluwalia said on Thursday.
India's economy will grow at a lower-than-expected pace of 8% during the fiscal year, but a slew of rate rises are not solely to blame, and the central bank should keep up its inflation fight, a top adviser to the prime minister said.
Describing rising inflation as a matter of concern, chairman of Prime Minister''s economic panel C Rangarajan today said the rate of price rise would moderate in the coming months on the back of good monsoon and increased availability of foodgrains.
India's economy will grow a lower-than-expected 8 percent during this fiscal year, a top adviser to the prime minister said, adding to a slew of forecasts showing rising inflation, slowing industrial output and global headwinds are slowing growth.
India's food price index rose 10.60% and the fuel price index climbed 15.17% in the year to Oct. 8.
Agriculture Minister Sharad Pawar today said the government should supply highly subsidised foodgrains only to the "really needy people" under the proposed food security law else the country's economy would be affected.
India's economic growth will be slower than government projections, highlighting how high inflation, rising interest rates and global financial turbulence threaten the country's momentum, Finance Minister Pranab Mukherjee said on Wednesday.
Finance Minister Pranab Mukherjee said on Wednesday that economic growth would be slower than government projections, highlighting how high inflation, rising rates and global financial turbulence threaten India's economic momentum.