Posted 11/6/2023, 10:23:00 AM
RBI May Resume Rate Hikes as Ukraine War and Oil Prices Threaten India's Economy
- Global markets watching Ukraine war & oil price fluctuations, may prompt RBI to resume rate hikes
- RBI has hiked repo rate by 250 basis pts since May 2022, leading to higher EMIs for borrowers
- Higher crude oil prices & potential US Fed rate hikes could strain India's economy & currency
- If oil sustains over $110/barrel, RBI may have to hike rates despite pausing recently
- World Bank forecasts $90/barrel average oil price, but further Middle East conflict could spike prices