(Reuters) -The Reserve Bank of India (RBI) kept its key repo rate unchanged at 5.50% on Wednesday, in line with market expectations, as it evaluates the impact of earlier rate cuts and recent tax reductions amid global trade uncertainties.

The central bank had cut the repo rate by a total of 100 basis points in the first half of 2025, but paused at its previous meeting in August.

COMMENTARY:

SAKSHI GUPTA, PRINCIPAL ECONOMIST, HDFC BANK, GURUGRAM

“A rate cut in December is not a given yet and would be driven by how growth momentum performs over the coming months – particularly in regards to the tariff outcome and strength of the pick up in domestic consumption.”

“We remain cautious on growth compared to the RBI, with our forecast at 6.6% for FY26. In the event that tariff risks recede,

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