India 09 August 2016: “RBI Governor Raghuram Rajan’s decision to hold the repo rate steady at 6.5% is along expected lines. This being his last policy pronouncement, many sectors, including real estate, were hoping he would pull a surprise by announcing a modest cut, but rising inflationary trends in recent months pre-empted such a possibility. Nevertheless, given the Government’s goal of pegging inflation at around 4% within five years, this seems best, particularly since retail inflation is presently at a two-year high.”
