RBI MPC Reaction: Lakshmanan V, Group President & Head - Treasury, Federal Bank

7 Feb 2025 , 12:35 PM

The MPC was on reasonably expected lines on all counts – Rate cut, stance and statement on liquidity measures. This decision in my view was a logical extension to the liquidity measures taken in Jan, along with clear assurances given by RBI to support liquidity whenever necessitated going forward. Todays outcome sets the stage for rate cut expectations in April, unless the Inflation and global macro play havoc.