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RBI keeps rate cut door open
Financial Express Mumbai
|October 02, 2025
FY26 inflation target pruned to 2.6%, growth estimate goes up to 6.8%
THE MONETARY POLICY Committee (MPC) decided to keep its policy rate unchanged on Wednesday but kept the door open for further rate cuts inthe near future as it assesses the impact of domestic tax cuts and punitive US tariffs.
Reserve Bank of India (RBI) governor Sanjay Malhotra said the current macroeconomic conditions and the outlook have opened up policy space for further supporting growth, after the six-member MPC voted unanimously to hold the repo rate at 5.50% and retained a “neutral” policy stance, though two members — Nagesh Kumar and Ram Singh — were of the view that the stance be changed from neutral to accommodative.
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