Credit Policy on 3 November
By Bankers expect the new g | 11 Oct 2003
Bankers expect the new governor, who took charge on 6 September, to continue the soft interest rate bias by cutting the benchmark Bank Rate and repo rate by at least 0.25-0.50 percentage points.
Reddy, who was earlier India's executive director to the International Monetary Fund, on taking charge from Dr Bimal Jalan, had promised "continuity with change in proper mix."
The
last cut in the Bank Rate had been by 0.25 percentage
point to 6 per cent in the April 2003-04 Credit Policy.
The repo rate cut was effcted last in February 2003 following
the Union Budget by 50 basis points to 4.5 per cent.