Banks may face further margin pressure as repo-linked loan rates reset faster than deposits, though liquidity support and CRR cuts could soften the impact in Q4
RBI MPC meeting December 2025 HIGHLIGHTS: Reserve Bank of India (RBI) Governor Sanjay Malhotra will announce the outcome of the Monetary Policy Committee's (MPC's) December meeting today
Sensex Today | Stock Market close, Dec 5, 2025: In the broader markets, the Nifty MidCap index gained 0.49 per cent, and the Nifty SmallCap index dropped 0.57 per cent
RBI Governor Sanjay Malhotra said the central bank does not target exchange-rate levels and intervenes only to curb abnormal volatility
The most significant change in the December policy meeting was the reduction of the repo rate, the interest rate at which the RBI lends money to commercial banks
RBI cuts the repo rate to 5.25%, revises FY26 GDP growth to 7.3%, and lowers its inflation forecast to 2%, signalling stronger momentum and easing food-price pressures
At 10:25 AM; Nifty Realty and Nifty PSU Bank index were up 1 per cent each, while, Nifty Auto, Nifty Bank and Nifty Financial Services index up in the range of 0.30 per cent to 0.60 per cent.
The RBI MPC revised its inflation forecast downward from 2.6 per cent to 2 per cent in the December meeting
Economists believe that the six-member committee will maintain the status quo on its stance at the December policy meeting
Sensex Today | Stock Market close, December 03, 2025: In the broader markets, Nifty MidCap and Nifty SmallCap, fell 0.98 per cent and 0.71 per cent, respectively.
After slashing repo rates for three consecutive months since February, the MPC kept the rate unchanged at 5.5 per cent since August
Interestingly, the US Federal Reserve's December 2025 meeting is a few days after the MPC's last scheduled review for 2025, in which it may cut rates further.
Bond mkt expects OMO calendar in Dec policy review
Govt banks stay away from auction
Analysts believe the impact of the policy reforms announced in the latter part of Samvat 2081 will be the key domestic cues that may shape the markets in Samvat 2082
Ram Singh signals potential for multiple rate cuts in FY26-FY27, citing low inflation and scope for accommodative monetary policy to support growth
Links borrowing limit with borrower's financial strength
If you own shares or mutual funds but want to avoid redeeming them, you can access emergency funds by pledging your investments.
The central bank has lowered its inflation projection for FY26 to 2.6 per cent from 3.1 per cent, and for the first quarter of the next financial year to 4.5 per cent from 4.9 per cent
After slashing repo rates for three consecutive months since February, the MPC kept the rate unchanged at 5.5 per cent in August