RBI Likely to Keep Repo Rate at 6.50%, Says BillMart CEO

Mr. Ashok Mittal, MD & CEO, BillMart Fintech

“I believe RBI will keep the repo rate unchanged at 6.50%. Inflation has come down to nearly 5%, but since the target is 4%, the central bank would prefer to wait and watch. At the same time, India’s growth is strong at around 7%, so there is no immediate need to push rates down. For MSMEs and SMEs, which form the backbone of our economy, stability in policy is very important — it helps them plan their borrowing and working capital without sudden shocks. A steady rate environment will keep business confidence intact and allow small businesses to focus on growth rather than worrying about interest rate volatility. With the reduction in GST rates across several categories, demand has picked up in many segments, giving a positive boost to MSMEs and creating a more supportive environment for their growth.”