RBI Keeps Repo Rate Unchanged at 5.50%; Retains Neutral Stance
Policy Review Date: October 1, 2025 | Next MPC Meeting: December 2025
The Reserve Bank of India (RBI)Monetary Policy Review for October 2025, keeping the repo rate unchanged at 5.50%. The Monetary Policy Committee (MPC) decided to maintain a neutral stance while closely monitoring inflation trends and global economic conditions.
RBI Governor Shaktikanta Das stated that while inflation is showing signs of easing, sustained vigilance is needed to balance growth and price stability. The decision reflects the committee’s cautious approach amid fluctuating crude prices and global uncertainties.
| 📋 Key Highlights | Details |
|---|---|
| Repo Rate | 5.50% (unchanged) |
| Reverse Repo Rate | 3.35% |
| Stance | Neutral |
| Inflation Forecast | 5.4% for FY 2025–26 |
| GDP Growth Outlook | 6.7% for FY 2025–26 |
| Next Policy Review | December 2025 |
About the Monetary Policy Committee (MPC)
The MPC consists of six members — three from the RBI and three nominated by the Government of India. The committee meets every two months to review economic conditions and decide on policy rates to manage inflation and promote growth.
Market Reactions
Following the announcement, equity markets remained steady while bond yields fell slightly, reflecting confidence in RBI’s balanced policy stance. Analysts expect the RBI to consider rate cuts in early 2026 if inflation continues to moderate.
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