Countenance with increased inflation, the Reserve Bank is liable to boost key policy rates by not less than 25 basis points in its mid-term evaluation of the monetary policy to be revealed on Tuesday. It can be the tapering of chief policy rates and cannot be either. If it’s their then they don't believe it cannot exceed more than 25 basis points and it’s just an option as expressed by SBI Chairman O P Bhatt.

The macro economic situation is highly complex at the time, he stated, continuing that strategy action by RBI is a tough question to answer at this present time.

On the whole, inflation for this month finished September increased to 8.62 %, by 8.5 % in the earlier month. However, food inflation relaxes slightly to 13.7 % for the week ended on October 16 as contrasted to 15.5% in the last week.

Obstinately high headline inflation rate might bring about RBI to make tighter the money supply by increasing both short-term lending (repo) and borrowing (reverse repo) rate by November 2.