RBI likely to cut rates in Septmeber

The Reserve Bank of India keeps rates on hold, but a rate cut is expected from the September 29 policy meeting. RBI held its key policy rates unchanged this week, but gave hints of further easing in upcoming meetings. 

With the bank's monetary policy stance turning softer, the central bank is on course to deliver another 25bp repo rate cut in H2 2015, unless incoming data, for example, the monsoon, is significantly poorer than expected. 

"On the balance of risks, a rate cut is expected at the RBI's next meeting at end-September. Thus, while the RBI has rightly reiterated that its policy action will remain data dependent, a 25bp repo rate cut in September", says Barclays.