CHENNAI: The Reserve Bank of India delivered a widely anticipated policy shift today, with the Monetary Policy Committee unanimously cutting the repo rate by 25 basis points and maintaining a neutral stance. The benchmark rate now stands at 5.25 percent, marking a cumulative reduction of 125 basis points through 2025.

The decision came against the backdrop of exceptionally soft inflation and stronger-than-expected economic momentum. Retail inflation had eased to historic lows in recent months, giving the central bank enough room to support demand without threatening price stability. At the same time, the economy continued to perform well, with second-quarter GDP growth posting an impressive 8.2 percent expansion, prompting upward revisions to full-year growth forecasts.

RBI’s decision si

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