A day after RBI hiked the repo rate, HDFC has moved first to hike interest rates across the board by 20 basis points. CNBC-TV18 caught up with HDFC CEO Keki Mistry for his views.
Keki Mistry said, "Rates have gone up substantially over the last couple of months, the 25 basis points rate hike by RBI was the move which led us to increase the rates. If you look at the way bond yields have moved over the last one to two months, you would see how significant it has been."
He further added, "Existing floating rate customers EMIs won't go up, their term will get changed but this will happen as and when it comes up for re-pricing. It is not that every loan gets re-priced every month."
On further rate hikes he said, "In my view this would be the last rate hike for the calendar year for sure and possibly even for the financial year. I think there was a possibility of doing a rate hike either now or in the next policy which is in October. It was better for RBI to conclude the rate hike rather than keep it for October. So, in that sense I don't think there will be further rate hikes."