- Raghuram Rajan's RBI adopted balanced approach in policy review, says Montek Singh AhluwaliaRBI repo rate hike: Raghuram Rajan says RBI is 'anti-inflation'Rate hike: Raghuram Rajan wants to be India's Paul Volcker, set to fight inflation, but may get hit by recessionIndian rupee falls 46 paise to US dollar after RBI Guv Raghuram Rajan hikes key policy rate
season, this might become more glaring and force banks to raise rates.
Even, lenders like Bank of India and Oriental Bank of Commerce (OBC), which had not raised their rates, might have to do so after the RBI policy decision. Bank of India had cut its base rate on July 3 by 25 bps to 10%, while OBC had rolled back its 25 bps base rate cut decision on July 19.
“For 8-10 days, you will not see any action on rates, though those that had reduced their base rates may reverse their steps,” said OBC CMD SL Bansal.