RBI MPC meet begins; rate cut unlikely but commentary will be keenly watched

“This meeting of the MPC is the first with the new government nominees on the Committee. Considering that this is their first meeting and with the inflation consistently above 6, they are expected to retain the policy rates. The MPC is expected to adopt wait and watch approach in terms of the inflation. RBI may look at other monitory policy options such as OMO,” said Divakar Vijayasarathy, founder and managing partner, DVS Advisors LLP.