RBI Repo Rate News: The Reserve Bank of India’s (RBI) monetary policy committee (MPC) has decided unanimously to cut the key repo rate by 25 bps to 5.25% in its December 2025 bi-monthly monetary policy, Governor Sanjay Malhotra announced on Friday. Experts were divided between the status quo and a rate cut. The decision has been taken unanimously, while the RBI MPC’s policy stance remains ‘neutral’.

Announcing the fifth bi-monthly policy review of FY26, Malhotra said, “Since the October 2025 policy, the economy has seen significant disinflation… Look back at the year with satisfaction, current growth inflation dynamics show rare goldilocks period, growth continues to remain strong."

The RBI also cut the standing deposit facility (SDF) by 25 basis points (bps) to 5.25 per cent, as well a

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