For the ones, who had been planning to take up home loans for this New Year, it’s time to cheer up the rate of interests are certainly reported to fall down. On the first day of New Year, Reserve Bank of India managed to look upon the monetary policy review, which apparently lead to the decision of reducing the rate of interest. Usually, 8% is the standard rate that RBI lends to all the banks and in turn the banks have to maintain a deposit proportion at 4.25%. To discuss furthermore on this strategy, the central bank has decided to organize a meeting on January 29.

Witnessing the sudden pressure thrown on the inflation, the shift has to definitely take place with the monetary policy with accordance to the scheme of curbing down. The closer sources to the apex bank states that things are getting easier to get the policy for fourth quarter much stronger as the recent inflation patterns have been literally useful in October guidance plans.

On his turn, RBI deputy governor Subir Gokarn uttered that the process will kick-start with the diesel subsidies with correspondence to FDI policy that will have a great and positive effect on the investment climate.

However the bankers are keeping a pause on their plans as they await the Central Bank makes a movie. Of course, in the past, these bankers have been bound to lots of sudden surprises spelled by the Central Bank.

Rana Kapoor, founder, MD & CEO, Yes Bank doesn’t miss to express his wish that the RBI has to ease the repo rate by 50bps by first three months on in the 2013 calendar followed by  50-75bps by next financial year, which will consequently elevate their standards.

At the moment, the banks are pushing up 25-50 bps higher than their usual base rates. Naturally, this comes around 10% rate for loans offered to larger lenders.