The inflation rate in the country has come down, which means that any further hike in policy rates is unlikely. However, after the slide in inflation experts have been making speculations about the lowering of policy rates.

"We expect Wholesale Price Index (WPI) inflation to cool a little in the coming months... We expect WPI inflation to ease toward 6.5% by mid-2012," said Moody's Analytics. Moody's is a leading global ratings agency.

"We were honing in on a March rate cut, but this latest inflation cooling may give the RBI sufficient reason to move before then. The Indian economy is slowing sharply and with inflation coming off its peaks, there's no reason for the RBI to continue sitting on their hands," the report said.

The agency has expectations that RBI can go for rate cut in February. The third quarterly monetary policy review is scheduled for 24th January, but experts doubt any rate cut in it.