MPC members indicate more rate hikes to tackle rising inflation

The members of the monetary policy committee (MPC) of the Reserve Bank of India (RBI) indicated more interest rate hike in the coming months to tackle rising inflation, minutes of the June policy review rele¬ased on Wednesday showed.

The rate-setting committee has increased the policy repo rate by 90 basis points in May and June, to 4.9 per cent. Consumer price index-based inflation stayed above the upper tolerance band of 6 per cent for all the five months in 2022. “The objective should be to take the repo rate to a height that is at least above the four quarters ahead