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DBS Bank Senior Economist Radhika Rao on RBI Policy
This story was originally published at 11:52 IST on 6 February 2026
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MUMBAI - Radhika Rao, executive director and senior economist, DBS Bank, said the following on the Reserve Bank of India's sixth bi-monthly monetary policy for 2025-26 (Apr-Mar) detailed on Friday:
The decision to hold rates was anchored in the Monetary Policy Committee's favourable assessment of growth and inflation dynamics, ahead of a planned overhaul of the CPI and GDP series later in the month.
RBI Governor Sanjay Malhotra flagged a range of factors behind the recent uptick in bond yields and underscored the authorities' readiness to respond pre-emptively. Looking beyond February, we expect the RBI to maintain an extended pause, supported by a positive cyclical upswing and confidence effects stemming from the successful conclusion of US trade negotiations.
We also anticipate additional open market operations over this and the next quarter, with any such measures likely to be announced outside the policy cycle. End
Compiled by Shubham Rana
Filed by Avishek Dutta
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