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RBI did its part, now time for markets to show maturity

The Sunday Guardian

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December 07, 2025

The Reserve Bank of India (RBI) has done its best to ensure monetary policy continues to support India's economic growth and it is now time for the markets to show maturity and remain non exuberant, SBI Research said in a report, as the central bank in an unprecedented move reduced repo rate when both GDP and inflation are congenial.

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RBI did its part, now time for markets to show maturity

The RBI monetary policy committee unanimously voted to cut the repo rate by 25 bps amid uncertainties in a tumultuous global order. The RBI panel also maintained its neutral stance. With GDP growth above 8.2 per cent in the July-September 2025 quarter and ultra-low inflation of 0.25 per cent in October, the rate cut is "exceptional", the SBI Research said in the report.

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