RBI’s decision to hold the repo rate at 5.50% reflects confidence in India Inc’s growth prospect: Tata Capital
“The RBI’s decision to hold the repo rate at 5.50% reflects confidence in India Inc’s growth prospects, signalling that the central bank views the economy as structurally resilient and poised for sustainable, broad-based expansion. With inflation easing and the outlook benign, it has opted for continuity while remaining watchful of global and domestic risks.
For the financial sector, this stability anchors inflation expectations while sustaining credit momentum across retail, SME, and corporate segments. The recent GST rationalisation is another positive development, set to lift household purchasing power and fuel consumption demand, acting as a powerful growth catalyst.
Looking ahead, while global uncertainties—ranging from slower growth to tariff actions—pose challenges, India’s economic fundamentals remain resilient. This combination of policy stability, improving consumption, and sustained credit demand positions the country well for broad-based, long-term growth,” said Rajiv Sabharwal, MD and CEO, Tata Capital Ltd