The Reserve Bank of India (RBI) is likely to keep the key interest rate unchanged at 6.5% in its upcoming meeting from August 6 to 8, 2024. This decision aligns with recent trends, as the rate has been held steady since February 2023. Despite the US Federal Reserve’s pause on interest rate changes and ongoing inflationary pressures, the RBI will likely wait for more data before considering a rate cut. The central bank aims to ensure inflation trends downwards sustainably before altering its stance. For investors, maintaining the rate suggests cautious economic management.
