RBI MPC meeting highlights: MPC continues to monitor incoming data, says Governor Sanjay Malhotra

RBI MPC meeting June 2025 highlights: MPC felt frontloading of rate cut will boost growth, RBI Governor Sanjay Malhotra said today; catch all the LIVE updates here

5:33 PM

'Support growth now, while inflation gives us the room to act'

Dr Chandrika Raghavendra, Assistant Professor - Economics & International Business, Great Lakes Institute of Management, Chennai, said, "With a bold 50 bps cut, the RBI has shifted gears decisively, from cautious navigator to growth accelerator. This move isn’t just about lowering rates; it’s about reigniting economic momentum before headwinds strengthen. Think of it as the central bank adding fuel before the gradient steepens, preemptive, not reactive. The message is clear: support growth now, while inflation gives us the room to act."

4:32 PM

RBI’s big rate cut marks shift toward growth and flexibility: Forvis Mazars

"In a decisive policy pivot, the RBI governor announced a 50 basis point repo rate cut and a shift to a neutral stance, signaling flexibility amid evolving macroeconomic conditions. Even in the face of ongoing global uncertainty, these steps should be enough to maintain the Indian lending ecosystem’s lubrication," Akhil Puri, partner, financial advisory, Forvis Mazars.

4:25 PM

Policy decision a strong push to revive growth: Great Lakes Institute's Swapnil Sahoo

The RBI’s 50 bps rate cut is a strong push to revive growth. It lowers borrowing costs and boosts confidence, but long-term recovery will also need government support and reforms," Swapnil Sahoo, assistant professor, Great Lakes Institute of Management, Gurgaon.

1:00 PM

RBI MPC Meet Live: Final regulations on gold loans will be out by today or latest by Monday, says RBI governor

Don't need credit appraisal for gold loans up to ₹2.75 lakh, RBI governor.

12:39 PM

MPC updates: CRR cut will certainly increase flow of credit, says RBI governor

12:32 PM

Rate cut will have positive effect on growth; impact will be seen only in later half of FY26: RBI governor

As compared to past trend, rate transmission has been much faster, says RBI Governor Sanjay Malhotra. 

12:26 PM

Wanted to provide certainty to markets, so we frontloaded repo rate cut by 50 bps: RBI Governor.

It can be assumed that RBI has won fight against inflation, says RBI Governor Sanjay Malhotra.

12:09 PM

No thought on targeted level of call rate, says RBI governor

"Liquidity is abundant. We have not given thought to any targeted level of call rate," RBI Governor Sanjay Malhotra said today.

12:08 PM

MPC LIVE update: MPC press briefing begins

11:54 AM

Policy rate easing add a second engine to the consumption growth: PwC India's Ranen Banerjee

“The MPC has delivered an unexpected outsized policy rate cut of 50bps against a consensus expectation of a 25bps cut. This is accompanied by a 100bps staggered cut in CRR and a change in policy stance to neutral. The decision is likely owing to the GDP prints for Q4 of FY25 reflecting weakness in manufacturing and consumption, as well as the adverse impacts of global trade and conflict headwinds. The policy rate easing, combined with the liquidity increase for banks when system liquidity is already comfortable, is likely to add a second engine to the consumption growth flight that is anticipated to be already in flight from the income tax cuts taking effect in FY26," said Ranen Banerjee, partner and leader, economic advisory, PwC India.

11:43 AM

MPC decision can boost demand in Indian real estate sector: Anuj Puri, chairman, ANAROCK Group

"As widely anticipated, the RBI decided to reduce the repo rates by 50 bps -- to 5.5 per cent -- to the backdrop of moderating inflation in the country. This is the third consecutive time this year that the central bank has cut the repo rates. This effectively lowers the cost of borrowing, making home loan EMIs easier on the pocket and thereby directly improving affordability for buyers. This can potentially boost demand in the Indian real estate sector, especially in affordable and mid-income segments," Anuj Puri, chairman, ANAROCK Group, said.

11:27 AM

Rationale for MPC decision

"Inflation has softened significantly over the last six months from above the tolerance band in October 2024 to well below the target with signs of a broad-based moderation. The near-term and medium-term outlook now gives us the confidence of not only a durable alignment of headline inflation with the target of 4 per cent, as exuded in the last meeting but also the belief that during the year, it is likely to undershoot the target at the margin," the RBI MPC said in its resolution notes.

11:05 AM

Global growth and trade projections have been revised downwards by multilateral agencies: MPC resolution

Market volatility has eased in the recent period with equity markets staging a recovery, dollar index and crude oil softening though gold prices remain high, the MPC stated in its resolution notes.

10:54 AM

RBI policy: MPC cuts repo rate by 50 bps to 5.5%, shifts stance to neutral

Retail inflation, measured by the Consumer Price Index (CPI), eased to 3.16 per cent in April 2025, down from 3.34 per cent in March, marking the lowest rate since July 2019. Read the detailed story on MPC announcements here.

10:38 AM

MPC update: CPI inflation for FY26 is projected at 3.7% overall, revised down from 4%

Quarterly inflation projections are:

 

-Q1 FY26: 2.9 per cent

 

-Q2 FY26: 3.4 per cent

 

-Q3 FY26: 3.9 per cent

 

-Q4 FY26: 4.4 per cent

10:31 AM

News update: MPC felt frontloading of rate cut will boost growth, says RBI Governor Malhotra

10:27 AM

RBI MPC update: CAD for FY25 to remain low; CAD for FY26 within sustainable level, says RBI governor

10:24 AM

RBI MPC update: Inflation outlook for FY26 revised downwards to 3.7% from 4%, says RBI Governor Malhotra

10:22 AM

RBI MPC LIVE updates: FY26 real GDP forecast maintained at 6.5%

Here's a quarter-wise forecast:

-Q1-6.5%,

-Q2-6.7%
-Q3- 6.6%

-Q4- 6.3%

10:18 AM

MPC LIVE updates: MPC changes stance from 'accommodative' to 'neutral'

10:12 AM

Indian economy offers immense opportunities to investors: RBI Governor Malhotra

Indian economy growing at a very fast pace, we are making all efforts to grow even faster in our vision of Viksit Bharat, says RBI Governor Malhotra.

10:08 AM

LIVE update: MPC cuts repo rate by 50 bps to 5.5%

Governor Sanjay Malhotra announced that the key repo rate has been slashed by 50 bps to 5.50 per cent.

10:05 AM

Global growth as well as trade projections have been revised downwards, says RBI governor

10:04 AM

RBI MPC Meet Live update: RBI Governor Sanjay Malhotra begins address

9:58 AM

RBI MPC Meet Live: Governor's address to begin soon

RBI Governor Sanjay Malhotra is set to announce outcome of MPC meet at 10 AM today.

9:55 AM

Downward revision in CPI inflation estimate from 4%: IDFC FIRST Bank's Gaura Sen Gupta

“There could be some downward revision in the CPI inflation estimate from 4 per cent. Food inflation has shown broad-based deceleration across vegetables, pulses, and cereals,” said Gaura Sen Gupta, chief economist, IDFC FIRST Bank.

 

9:29 AM

RBI to announce MPC decision at 10 am today

RBI Governor Sanjay Malhotra will announce the committee’s policy decision at 10 am, with a live stream available on the RBI’s YouTube channel, X , and official website. A press conference is scheduled around noon on the same platforms. Live updates will also be available on Business Standard.

9:22 AM

RBI monetary policy: 25-bp repo rate cut on the cards: BS poll

The Reserve Bank of India’s (RBI’s) six-member monetary policy committee (MPC) is expected to cut the repo rate by 25 basis points (bps) to 5.75 per cent, nine of the 10 respondents said in a Business Standard poll.

8:56 AM

Lower inflation may drive continued monetary easing by MPC: Icra's Aditi Nayar

“With CPI inflation forecast to trail 4 per cent for a large part of this financial year, the MPC’s monetary easing is likely to continue. A 25 bp rate reduction is expected next week, followed by two more cuts over the subsequent policy reviews, taking the rate to 5.25 per cent by the end of the cycle,” said Aditi Nayar, chief economist at Icra.

 

8:46 AM

What is a repo rate?

The repo rate is the interest rate at which the central bank provides short-term funds to commercial banks, using government securities as collateral. A decrease in the repo rate lowers borrowing costs for banks, allowing them to offer loans to businesses and consumers at reduced interest rates.