As WPI inflation rate edged up to (-) 4.54 per cent in September, India Inc on Wednesday said there is scope for banks to slash interest rates further and the green shoots of economic recovery are "visible".
Expressing concern on the rise in prices of food articles, industry bodies said the government must take steps to ensure the prices of essential commodities remain in check.
“Following the cut in the policy rate by RBI, several banks have revised downwards their base rate. However, there is room for further cuts in the lending rate by banks.”
“As the gains of a lower interest rate regime get transferred to both consumers and investors, demand would pick up and we hope this brings pricing power back into the hands of producers,” Ficci President Jyotsna Suri said.