Change of guard at RBI: The early repo rate moves that set the tone

Newly appointed Reserve Bank of India (RBI) Governor Sanjay Malhotra’s predecessor, Shaktikanta Das, reduced the repo rate in his first monetary policy, as did his predecessor, Urjit Patel.

 

While there is speculation about what Malhotra’s first move will be amid slowing growth and elevated inflation, let’s take a look at the rate actions of the previous four RBI governors. Malhotra’s first monetary policy review meeting is scheduled for February 5-7, 2025.

 

October 24, 2008: D Subbarao cuts the repo rate by 100 basis points (bps) to 8 per cent

 

September 20, 2013: Raghuram Rajan raises the repo rate by 25 bps to 7.5 per cent

 

October 4, 2016: Urjit Patel cuts the repo rate by 25 bps to 6.25 per cent in the first monetary policy under the flexible inflation targeting framework

 

February 7, 2019: Shaktikanta Das reduces the policy repo rate by 25 bps to 6.25 per cent