• Expected rate hike: The 25-basis-point increase was in line with expectations; Tewari said his bank’s view was the same.
• Bank transmission: Rate hikes are generally positive for financial institutions, but the benefit takes time: repo-linked loans reprice quickly, while MCLR loans depend partly on deposit rates.
• Policy outlook: Tewari said rate cuts are off the table, but the RBI has left open whether it will pause or hike further, depending on conditions. He said the focus is on preventing second-order effects and inflation expectations from rising.