RBI may push rates up by 30 to 50 bps

 On August 5 the RBI 's Monetary Policy Committee (MPC) is likely to announce a repo rate hike of 35-50 bps. It is mainly to tackle elevated inflation according to a majority of respondents in a Business Standard Poll. Of the 10 polled, three excepted the MPC to straightaway raise the benchmark policy rate by 50 bps; 3 others predicted an increase of 35 bps. An estimate of 35 -50 bps hike were provided by two of the institutions. One of them provided 40-50 bps for policy tightening. One institution said the MPC could opt for a 25-35 bps increase.