Business Standard

India Inc welcomes RBI's rate cut, says will revive demand in auto, realty

Falling rates to help; rise in group exposure limits will support large companies

Ongoing construction in front of a flyover in Bengaluru

Kamal Khetan, MD and CEO of Sunteck Realty, said the rate cut announced by the RBI would boost credit appetite of prospective homebuyers.

Dev ChatterjeeShally Seth MohileSamreen Ahmad Mumbai/Bengaluru
The CEOs of top Indian companies expect the 40-basis point rate cut announced by the Reserve Bank of India (RBI) on Friday to help spur demand and revive sales, which have crashed to near zero in the last two months because of the nationwide lockdown to control the spread of coronavirus. The two worst-hit sectors — automobiles and real estate — will benefit the most from the 115-basis point cut in rates since March, they said.

The RBI’s move to allow commercial banks to raise their group exposure limit from 25 per cent to 30 per cent will enable greater

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: May 22 2020 | 10:47 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on are available only to BS Premium subscribers.

Register to