The Reserve Bank of India (RBI) faces two conflicting objectives before its next interest rate decision in June, as the economy grapples with a potential double shock from energy prices and uncertain weather patterns, said Pranjul Bhandari, Chief India & ASEAN Economist at HSBC.
"The way I think about it right now, I think at least in the June policy meeting, the RBI will not make any change in the interest rates and the repo rate. Instead, it will try to provide liquidity support in the economy by keeping liquidity flush in the banking sector, which is the case right now," Bhandari told ANI.
