RBI Governor Sanjay Malhotra says inflation is under control as repo rate is cut to 5.5%, CRR lowered to 3% and policy stance turned neutral to support growth and banking system liquidity
With inflation expected to rise back to above 4 per cent by Q4-FY26, the Monetary Policy Committee has capitalised upon the available headroom to frontload rate action
RBI MPC's latest decisions come amid easing inflationary pressures and continued challenges to economic growth. Here are the highlights from the central bank's June policy meet
RBI Monetary Policy Committee maintained its GDP growth forecast for FY26 at 6.5%, lowered inflation forecast to 3.7%
Realtors' apex body CREDAI described the RBI decision to cut repo rate by 50 basis points as a bold step and said this will help boost sales of residential properties. Hailing the decision, CREDAI President Shekhar G Patel said the RBI decision will improve consumers' sentiment, immensely benefitting mid-income and affordable housing segments, which have been struggling in the last few years. "We welcome the RBI's decision and view it as a bold and timely step toward stimulating domestic demand," Patel said. This decision comes at a pivotal time, as India is witnessing strong real estate momentum across metros as well as Tier 2 and Tier 3 cities. "Lower lending rates will directly enhance home loan affordability, particularly in interest-sensitive categories like mid-income and affordable housing. Reduced EMIs are expected to significantly improve buyer sentiment and encourage first-time homebuyers to enter the market," Patel added. The cumulative 100 basis point reduction over t
Cash reserve ratio cut by 100 basis points to 3%, adding to already surplus liquidity
With limited space left after cumulative rate cuts of 100 bps since February 2025, the RBI has also shifted its policy stance from "accommodative" to "neutral
RBI Governor Sanjay Malhotra will announce the outcome of the June MPC meeting at 10 am today, with live broadcast on YouTube, RBI's X handle and official website
With inflation easing and growth momentum weakening, RBI is widely expected to cut the repo rate by 25 bps to 5.75% at its June 6 MPC meeting, continuing its accommodative stance
A strong majority of economists, 53 of 61, in a Reuters poll expect the Reserve Bank of India's monetary policy committee (MPC) to cut the repo rate to 5.75 per cent
RBI's interest rate decision, macroeconomic data announcements and global trends are the key factors that would dictate the momentum in the equity market this week, analysts said. Moreover, trading activity of Foreign Institutional Investors (FIIs) and developments on the tariffs front would also guide investors' sentiment, experts noted. "Looking ahead, all eyes will be on the outcome of the RBI's Monetary Policy Committee (MPC) meeting scheduled for June 6. Additionally, with the new month beginning, participants will track high-frequency data including auto sales numbers and other economic indicators. Updates on the progress of monsoon and the trend in FII flows will also be closely monitored," Ajit Mishra SVP, Research, Religare Broking Ltd, said. Globally, developments in the US bond market and any updates regarding the ongoing trade negotiations will continue to influence investor sentiment, he added. The Indian economy expanded at a faster pace than expected in the last ..
Rates could drop more than what economists are currently expecting if a trade deal with the US fails to materialise
While it will continue to be one of the world's fastest-growing economies, it may have to carefully balance monetary and fiscal policies to sustain its growth momentum
Banks have reduced their repo-linked external benchmark-based lending rates by 50 bps, the same as the quantum of rate cuts so far
India’s inflation numbers are finally giving our wallets a breather—and there’s more good news possibly on the way. Are there more RBI rate cuts on the way? Watch the video to find out.
With inflation staying under RBI's 4% target for two months, economists expect three back-to-back repo rate cuts, starting with a 25 bps reduction in June
SBI Research expects a 125 bps rate cut in FY26 as inflation falls to multi-year lows, with liquidity measures like OMOs and pressure on deposit rates likely to follow
The weighted average domestic term deposit rate (WADTDR) on fresh rupee term deposits of scheduled commercial banks stood at 6.65 per cent in March 2025
According to market participants, RIL may have bought between Rs 7,000 crore and Rs 10,000 crore worth of government bonds during the second week of April
The country's largest lender State Bank of India (SBI) has reduced its lending rate by 25 basis points following the Reserve Bank's policy rate cut, making loans cheaper for both existing and new borrowers.. With the latest round of reduction, the Repo Linked Lending Rate (RLLR) of SBI would come down by 25 basis points to 8.25 per cent. It has also reduced the External Benchmark Based Lending Rate (EBLR) by similar basis points to 8.65 per cent. The revised rates come into effect from April 15, 2025, according to updated rate information on SBI's website. The rate reduction is in response to last week's RBI slashing key interest rate by 25 basis points for the second time in a row to support growth facing the threat of reciprocal tariffs by the US. Besides, the bank also cut deposit rates by 10-25 basis points, which will again be effective from April 15. With the revision, for fixed deposits up to Rs 3 crore, the interest rate on 1-2 year term deposits will be lower by 10 basis