“The RBI has given the much needed impetus to the market with the repo rate cut of 50 bps. It is a bold move that should see confidence returning to the markets and lead to the virtuous investment/ capital formation cycle,” the Chief Executive of Federal Bank, Mr Shyam Srinivasan, said.
According to him, the year could see at least two more rounds of rate cuts, and depending on the macro economic variables, he foresees a cut in CRR as well.
“The challenges on the domestic and overseas front remain. However, I believe that appropriate policy measures can reignite the growth cycle,” Mr Srinivasan said.