New Delhi, Oct. 7 -- After announcing a 25bps rate hike, Reserve Bank of India (RBI) Governor Sanjay Malhotra said the rate cuts in the near-term are unlikely given the prevailing economic conditions.

He indicated that the central bank's next policy action could therefore be either a rate hike or a pause, depending on how the economic outlook and conditions develop.

On Wednesday, RBI Monetary Policy Committee (MPC) unanimously increased the repo rate by 25 basis points to 5.5%, from 5.25%, as widely expected, marking the RBI's first rate hike in four years, as the central bank responds to persistent price pressures.

The Indian stock market remained volatile on Wednesday. After opening in negative territory, Indian benchmark indices par...