01 Oct 2025 | 3 Mins Read

Mohandas Pai criticizes RBI for not cutting interest rates

Flipitmoney

TV Mohandas Pai expressed deep concern over the RBI's decision to keep the repo rate unchanged at 5.5% despite low inflation. Pai argues there's a disconnect between current inflation trends and borrowing costs. He warns India may become a "rent-seeking economy" due to high interest rates discouraging borrowing and investment.