Q2 GDP surprises at 8.2% growth, rate cut unlikely

review has certainly eased, notwithstanding the series-low CPI inflation print for October 2025,” said Aditi Nayar, chief economist at Icra.

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To be sure, the RBI has already delivered a cumulative 100-basis-point rate cut between February and June before going on a pause from August. One hundred basis points equals 1%.

Radhika Rao, senior economist at DBS Bank, said the RBI's monetary policy committee (MPC) faces a challenge at the next rate review, with the mix of a strong growth print and record low inflation. “We expect an emphasis on forward-looking growth guidance and a high real rate buffer due to weak inflation, to justify a move to lower rates further,” Rao added.

Construction continued torecord strong growth of 7.2%.