By:- Dr. Amit Goenka, Chairman & MD of Nisus Finance, on the RBI MPC announcement.
“The RBI’s decision to keep the policy repo rate unchanged at 5.25% adds to stability when global uncertainties continue to impact investment sentiment. Indian domestic growth remains resilient despite external headwinds The commitment to capital expenditure in the Union Budget of ₹12.22 lakh crore continues to support infrastructure creation, while the RBI’s steady hand on rates provides comfort on the macroeconomic front even as inflation is expected to firm up slightly before easing later in the year. Demand across the real estate ecosystem continues to be underpinned by credit growth and ongoing investment in city infrastructure.
The Reserve Bank of India’s (RBI) upward revision of its FY27 growth forecast to 6.7% indicates confidence in the medium-term trajectory of the economy. Stability of interest rates in the real estate sector provides greater certainty to developers, institutional investors and homebuyers, besides aiding deployment of capital into long gestation projects. Stable liquidity and predictable borrowing costs improve yield visibility and asset valuations for REITs, which makes them more attractive as long-term investment vehicles. Policy stability is a key enabler for continued investment across the commercial real estate and infrastructure landscape.”
