The RBI’s monetary policy committee is set to begin the rate hike cycle by pre-emptively raising the policy repo rate by at least 25 basis points in its upcoming meeting (Ocotober 5 to 7) even as the exchange rate needs immediate protective guardrails to thwart speculation, according to State Bank of India’s Economic Research Department (ERD).The ERD’s economists believe the balance of risks has tilted decisively towards a 25-bps rate hike (from 5.25 per cent to 5.50 per cent) at this juncture. They also ex ...