Coimbatore : Tirupur Exporters Association (TEA) today hailed the reduction of repo rates by 25 basis point from 6.50 per cent to 6.25 per cent, which will pave way for the growth of investment and exports.

In a statement TEA President. Raja M Shanmugham said the Monetary Policy Committee decision to change Monetary policy stance from Calibrated
tightening to Neutral gives confidence that there would not be any interest hike in the near future.

By taking into account of this, all banks will come forward to pass on the reduction of interest rate to the borrowing units, which is desperately required for the knitwear garment exporting units, particularly to MSME exporting units which are suffering further to macroeconomic changes, he said.