Corporate still concerned about transmission of rates after RBI repo rate cut
India TodayThe Reserve Bank of India has cut the repo rate by 25 basis points, in line with market expectations, taking the total rate reduction to 135 basis points since February this year. "It's not about repo rate cut but the transmission and high spread the lenders are still charging with the exception of few," says Sanjay Dutt, MD & CEO, Tata Realty & Infrastructure. The repo rate cut coupled with the slashing of the basic corporate tax to 22 per cent and the setup of the stressed fund of Rs 20, 000 crore are all measures to help revive the industry and thereby the economy. Addressing dislocation in credit markets along with creating an enabling environment for more efficient policy rate transmission remains crucial for policy rate cuts to filter through to the real economy."