Industry chambers said on Tuesday the RBI mid-term credit policy should not have opted for reducing benchmark interest rates to trigger higher economic growth.
The chambers also said RBI's move to increase the requirements for banks to keep 0.5 per cent more cash with the central bank would not allow reduction in interest rates, though they may not rise as well.
The Reserve Bank today raised Cash Reserve Ratio -- proportion of bank deposits that they keep with the central bank -- by 0.5 per cent to 7.5 per cent for a fortnight from November 10. But it kept all benchmark interest rates unchanged.
"Keeping in mind the international trends in interest rates and particularly the indications coming in from the US, we feel that the RBI could have considered an interest rate (Repo Rate) cut to go along with the CRR hike of 50
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