From Vivek Kaul’s Diary (IND) –
In an interesting The Honest Truth column which was recently published, Ajit Dayal writes: “I think the RBI may charge ahead with a 100 basis points cut!” One basis point is one hundredth of a percentage. Hence, 100 basis points amount to 1%.
The Reserve Bank of India (RBI)’s next monetary policy statement is scheduled for April 5, 2016.
Dayal offers multiple reasons on why he thinks the RBI may cut the repo rate by 1%. Repo rate is the rate at which RBI lends to banks and acts as a sort of a benchmark for the short and medium term interest rates in the economy.