RBI MPC members to tread cautiously over interest rate hike

RBI Governor Urjit Patel and 4 other members of the Monetary Economic Policy (MPC) will wait for more data before making any judgement regarding the future course of interest rates.

India’s Monetary Policy Committee (MPC) that is responsible for fixing benchmark index rates in the country, which so far favoured a wait-and-watch approach on interest rates, may see 2 of its 8 members vote for a rate hike at its next meeting to be held on June 5-6. 

According to the minutes of the 10th MPC meet, RBI Deputy Governor Viral Acharya said he could vote for the withdrawal of accommodation when the committee next meets.