David Rubenstein Davos
Carlyle Group's co-founder and co-CEO David Rubenstein.
  • The Fed is likely to keep raising interest rates after the collapse of SVB, David Rubenstein said. 
  • "I suspect 25 basis points is the split-the-baby decision that's most likely," he told Bloomberg. 
  • Markets see a potential pause in rate hikes after SVB was seized last week. 

Silicon Valley Bank's collapse triggered expectations the Federal Reserve next week will pause its run of interest rate hikes, but David Rubenstein sees policymakers forging ahead with another increase. 

For the March 21-22 meeting, the "big decision that has to be made by the Federal Reserve is do they increase interest rates by 50 basis points, 25 basis points, or no basis points?" he told Bloomberg TV on Wednesday.