Inflation in the economy is expected to remain high until December, which is why the Reserve Bank of India (RBI) is likely to keep interest rates unchanged for now. When inflation is elevated, reducing interest rates can make loans cheaper and increase spending, which may push prices even higher. To avoid this, the RBI prefers to maintain current rates and control inflation first. As a result, borrowers may not see any immediate reduction in loan interest rates or EMIs, as the central bank is taking a cautious approach to ensure price stability.
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