New Delhi, June 2 -- The Reserve Bank of India (RBI) is expected to announce a 50 basis points (bps) cut in the repo rate in its upcoming monetary policy announcement on June 6, according to a report by the State Bank of India (SBI).

The report said a large rate cut could help revive the credit cycle, with the total rate cut over the easing cycle possibly going up to 100 bps.

SBI said, "We expect a 50-basis point rate cut in June'25 policy as a large rate cut could reinvigorate a credit cycle".

The report highlighted that the current liquidity condition in the banking system is in extended surplus mode. Due to this, liabilities are getting repriced faster in the ongoing rate-easing cycle. Banks have already brought down interest rates ...