India Rate Hike Expectations Rise Amid Crude Oil Price Surge

IDFC First Bank and SBI Research expect a 25-basis-point rate hike in October due to rising crude oil prices, inflation risks, and resilient economic growth. Axis Bank's CEO Amitabh Chaudhry also cautioned that a rate hike may be needed sooner rather than later. The RBI's six-member Monetary Policy Committee will meet from October 5 to 7 to review interest rates, with the repo rate currently standing at 5.25%. Rising oil prices and persistent food inflation have increased the likelihood of policy tightening.