Chennai, Dec. 5 -- Mr. Ajay Kumar Srivastava, Managing Director and CEO of Indian Overseas Bankwelcome the RBI's decision to reduce the repo rate by 25 basis points to 5.25 per cent while maintaininga neutral stance.
This policy supports growth while keeping inflation at or below the 4 per cent target, with real GDP expectedat 7.3 per cent for 2025-26 (Q3 at 7.0 per cent; Q4 at 6.5 per cent; Q1 2026-27 at 6.7 per cent and Q2 at 6.8per cent), he said, a statement from IOB said.
The rate cut is expected to ease borrowing costs, spur demand in housing and real estate, support MSMEsand sustain personal and auto loan growth.
On the financial sector side, bank credit growth remains healthy at 11 per cent and overall credit from bankand non-ban...