“We are ecstatic that RBI has continued to maintain the REPO rate pause for a third time in a row. Strong economic conditions and the revised inflation prediction for FY24 being within the central bank’s upper tolerance range of 6% underpin the decision to retain the status quo. In spite of mild inflation, keeping policy rates steady will boost consumer demand and further the economy’s expansion. Since the interest rate upcycle, the repo rate has been hiked by 250bps, resulting in 160bps rise in home loan rates. Despite the rate hike, consumer sentiment is optimistic as reflected by the sales and launches. A protracted halt in the policy rate will further assist the housing market.”