New Delhi, May 30 -- The weakness in the US dollar has created real room for the Reserve Bank of India (RBI) to lower interest rates further by up to 75 basis points (bps) by the end of calendar year 2025, according to a report by global financial services firm Jefferies.

The report highlighted that similar trends are visible in other emerging markets as well. Alongside India, Bank Indonesia also has room to ease rates further, thanks to the softening of the US dollar.

It stated, "US dollar weakness has created real room to cut rates for both Bank Indonesia and the Reserve Bank of India".

For India, the disinflationary trend has become increasingly visible. Consumer price inflation averaged 4.6 per cent in the last financial year and d...