New Delhi, Oct. 8 -- The Reserve Bank of India could raise the repo rate by another 50 basis points to 6 per cent by December, while taking additional measures to support the rupee, SBI Research said in its latest report, as it flagged rising inflation pressures and capital outflows.

The report said the October policy marked a shift from "watchfulness to explicit tightening", with the RBI raising the repo rate by 25 basis points to 5.50 per cent and moving its stance from neutral to calibrated tightening. The policy options in the near term are now effectively limited to a rate hike or a pause, depending on inflation and growth conditions.

"Peak policy rate poised for 6%...our estimates now point towards a jumbo rate hike of 50 bps," SB...