No Impact Foreign Inflows: Economic Affairs Secy

New Delhi: The US Fed rate cut of 50 basis points is unlikely to have any significant impact on foreign inflows into India, Economic Affairs Secretary Ajay Seth said on Thursday.

He said the US Federal Reserve has done what it assesses is good for the largest economy in the world, but the RBI will take a decision on interest rate cut keeping the Indian economy in mind. “It is a positive for the global economy, including the Indian economy. It is a 50 basis points cut from a high level. I don’t see that making any significant impact on inflows. We have to see from (the point of) where the (US interest rates) levels are. We have to see how do other economies’ markets behave,” Seth told reporters here.