New Delhi, Oct. 6 -- The Reserve Bank of India (RBI) is expected to begin a rate-hike cycle that could take the repo rate to 6 per cent by the end of FY27, as rising inflation, elevated global yields and resilient domestic growth strengthen the case for tighter monetary policy, according to research reports by Union Bank of India and ICICI Bank.

The reports, released ahead of the second day of the RBI Monetary Policy Committee's October 5-7 meeting, broadly project cumulative tightening of 75 basis points, although they differ on the likely policy stance.

Union Bank expects the MPC to raise the repo rate by 25 basis points to 5.50 per cent in the current review and gradually move towards a tightening stance. It has projected the repo ra...