Credit Policy Poll Says RBI May Hike Rates By 25 Bps; Raja Names PM, Chidambaram In Court | Sensex Up 148 Pts | RIL Q1 Net Up 17% At Rs 5,661 Cr

Monday, Jul 25, 2011 CNBC TV18 EXCLUSIVE Click here for India Business Update Mobile Version CREDIT POLICY POLL: RBI MAY HIKE RATES BY 25 BPS "Persisting high inflation and its expected slow decline warrant that the Reserve Bank continue with its anti-inflationary policy stance," RBI wrote in its quarterly report on macroeconomic and monetary developments. According to a CNBC TV18 poll, 85% of the respondents expect RBI to hike the repo rate by 25 basis points, while 15% said the RBI will acknowledge slow growth and pause its tightening cycle. 75% of those polled expect RBI to retain its GDP growth forecast at 8% but 25% see it scaling down the forecast between 7.5-8%. As for inflation, 65% said RBI will leave its March-end inflation forecast unchanged at 6% while 35% expect the forecast to be above 6%. read more LEAD STORIES 2G SCAM: RAJA NAMES PM, CHIDAMBARAM IN COURT Defending himself before a special CBI court, Raja said that the Prime Minister was aware of the sale of equity by Swan, Unitech to foreign companies. read more SENSEX UP 148 PTS AHEAD OF RBI POLICY; TELECOM ZOOMS Sensex closed at 18,871.29 points ahead of the RBI credit policy and as investors bought telecom blue-chips. Nifty ended at 5,680.30 up 46.35 points. read more RIL POSTS BEST EVER PROFIT; GAS OUTPUT WEIGHS RIL net profit soared 16.7% to Rs 5,661 cr vs Rs 4,851 cr YoY, in-line with estimates. The company said profit was driven by good refining margins. read more TOP STORIES • Spectrum was not sold to foreign partners: PC • Raja's argument in court is not evidence: Sibal • Gold hits all-time high at Rs 23,620, silver at Rs 65,000 • Birlas in talks with Japan's Lawson for retail JV • Suzlon to sell 26% in Hansen for Rs 840 cr • FMC challenges HC order over power futures trading • Dispute over Rs 15-20 cr expenses: IRB on I-T raid • NTPC Q1 net up 13% at Rs 2,076 cr • Bank of India Q1 net down 28% to Rs 517 cr • Coal India seeks nod to buy 30% in Indonesia mine • Indians may have over $2.5 bn in Swiss banks • Govt plans to set up environment regulator • President Patil declares her assets voluntarily • Will quit if Lokayukta phone tapping proved: BSY • Mani Shankar Aiyar calls Congress a circus • GM launches diesel 'Beat' between Rs 4.29 - 5.45 lakh • Visually impaired student makes it to IIM • Deutsche Bank decision on Anshu Jain this week • RIM to cut 2,000 jobs on slowing blackberry sales • Norway mass killer wants time in court to tell why more stories TOP VIDEOS FDI In Retail To Come With Riders Attached: Kishore Biyani, CEO, Future Group There Is No Need To Hike Rates Tomorrow And Make It Look As If We Are Independent Of The Global Crisis: Samir Arora, Fund Manager, Helios Capital The World Has To Understand That If We Don't Limit The Concentration Of Green House Gases It Would Impact Human Health: RK Pachauri, Chairman, Intergovernmental Panel On Climate Change Sangh Has Been Involved In Training People To Make Bombs But I Never Said RSS Is A Bomb Making Factory: Digvijay Singh, General Secretary, Congress AT A GLANCE BSE 18871.29 +148.99 NSE 5680.3 +46.35 TURNOVER Rs. 170,185 cr BSE CASH Rs. 2,889 cr NSE CASH Rs. 11,532 cr NSE F&O Rs. 155,763 cr BULLION GOLD 23276 +177 SILVER 60124 +638 CRUDE NYMEX 102.25 -0.08 BRENT 118.05 -0.62 FOREX $ / Re 44.3925 +0.05 £ / Re 72.212 +0.11 € / Re 63.649 +0.02 EVENTS 26 July RBI's Credit Policy Review 5th India Steel Summit, Le Meridien, New Delhi 27 July EPFO's Central Board Of Trustees Meet To Appoint A Separate Custodian For Its Securities L&T Finance's IPO To Open Foreign Ministers Of India & Pakistan Meet To Discuss All Aspects Of Bilateral Relations 7th International Special Economic Zones Convention, Le Meridien, New Delhi 28 July SEBI Meet On Achuthan Takeover Code Report SEBI Board Meet To Take Up NSDL Issue 1 August Monsoon Session Of Parliament Begins FM To Meet Corporate Honchos To Discuss Ways To Rejuvenate The Economy EXPERT VIEWS "They (Swan Telecom and Unitech) were inducting foreign partners or new partners... I think, the DoT had approved the induction of new partners. The question was whether it was divestment (sale) of promoter's equity or dilution of equity by issue of fresh shares... This was examined by the Ministry of Finance. Both were cases of dilution of equity by issue of fresh shares." P Chidambaram Home Minister "If policy pursued by me was wrong, then all former Telecom ministers since 1993 should also be in jail with me. As Telecom Minster Arun Shourie distributed 26 licences while Dayanidhi Maran distributed 25 and I distributed 122 licences. Numbers make no difference, however, it is to be noted that none of them auctioned the spectrum. If they had done no wrong, why am I being questioned?" A Raja Former Telecom Minister "Opposition parties hoping that I would quit would be disappointed. Till now, I have high respect for Lokayukta Santosh Hegde. All of us are eagerly awaiting his report. The moment we get the report, I will give my reaction of the Government to the six crore people of Karnataka." BS Yeddyurappa Chief Minister, Karnataka WATCH OUT RBI Credit Policy Growth has definitely slowed. Corporate margins are falling indicating companies are unable to pass on higher costs in the form of higher product prices. So will the RBI refrain from hiking rates in the credit policy tomorrow? Or will it continue to focus on inflation? Watch the RBI policy Live from Mint Street along with a galaxy of bankers and bond experts explain the impact on this credit policy. SHOW TIMINGS 10:30 am onwards