RBI Monetary Policy, RBI Repo Rate Cut: The Reserve Bank of India has cut repo rate for the first time in 5 years. Repo rates have been reduced by 25 bps to 6.25% from 6.50%. The RBI Governor however highlighted need to maintain the fine balance between reining in inflation and supporting growth. The RBI as a result maintained a ‘Neutral’ stance. The FY26 GDP target is set at 6.70%. The FY25 inflation target is seen at 4.8% while FY26 inflation is targetted at 4.2% considering global uncertainties.
“The MPC is also mindful of the need to support growth. MPC felt excessive volatility in global financial markets, coupled with global trade uncertainties makes it important to stay watchful,” added RBI Governor Sanjay Malhotra.
Trade-off between stability and efficiency crucial for maintaining economic health of country. Regulations crucial and adequate attention need to be given to appropriate implementation, explained RBI Governor.
This is the first MPC meet under the leadership of Sanjay Malhotra. Sanjay Malhotra had, earlier in December, taken charge as the 26th governor of the central bank for the next 3 years, replacing Shaktikanta Das.
RBI Monetary Policy February 2025: Coverage on RBI Repo Rate, Interest Rate, Inflation Rate and More
RBI Monetary Policy Meet Live Updates: RBI MPC Meeting in February 2024
Before April, the RBI MPC had met on February 6-8 and it had decided to keep the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 6.50 per cent. The stance was also maintained at ‘withdrawal of accommodation’. Shaktikanta Das had said, “These decisions are in consonance with the objective of achieving the medium- term target for consumer price index (CPI) inflation of 4 per cent within a band of +/- 2 per cent, while supporting growth.”
RBI Monetary Policy Meet Live Updates: RBI MPC Meeting in April 2024
After the deliberations at the April 2024 meeting, the RBI MPC had unanimously decided to keep the key interest rates unchanged at 6.50 per cent with policy stance also maintained at ‘withdrawal of accommodation’. The RBI Governor had said that the GDP growth forecast for FY25 was at 7 per cent.
RBI Monetary Policy Meet Live Updates: RBI MPC Meeting in June 2024
Before the August meet, the RBI MPC had met between June 5-7 at the end of which, the RBI governor had announced that the panel members decided to keep the repo rate unchanged at 6.5 per cent for the eight consecutive time by a 4:2 majority. Further, RBI had raised its GDP growth forecast for FY25 to 7.2 per cent from 7 per cent earlier, while retaining the FY25 inflation forecast at 4.5 per cent.
RBI Monetary Policy Meet Live Updates: RBI MPC Meeting in August 2024
During the August meeting, the RBI MPC had decided to keep the benchmark interest rate unchanged at 6.50 per cent. The MPC had voted by a 4 to 2 majority to hold the policy rate. RBI had retained real GDP growth estimates for FY25 at 7.2 per cent, and CPI inflation projection at 4.5 per cent.
RBI Monetary Policy Meet Live Updates: RBI MPC Meeting in October 2024
The RBI MPC, in its October meeting, had decided to keep the policy repo rate unchanged at 6.50 per cent for the 10th consecutive time. Five members had voted in favour of the decision aimed at taming inflation. The central bank had, however, changed its stance to ‘Neutral’ and the focus remained unambiguously on inflation. GDP growth for FY25 was projected at 7.2 per cent and inflation for the fiscal year at 4.5 per cent.
RBI Monetary Policy Meet Live Updates: RBI MPC Meeting in December 2024
In the December 2024 meeting, the RBI MPC, under the previous Governor Shaktikanta Das, had decided to keep the key rates unchanged at 6.50 per cent. Four out of its six members had voted to keep the repo rate unchanged for the eleventh bi-monthly review in a row. Further, acknowledging that the country is facing tight liquidity conditions, the MPC had cut the Cash Reserve Ratio (CRR) for banks by 50 basis points to 4 per cent.
RBI MPC Meeting Live Updates: MPC holds six meetings every financial year
The February meeting is the final meeting of the current financial year. Here are the dates when RBI MPC met this fiscal:
April 3-5, 2024
June 5-7, 2024
August 6-8, 2024
October 7-9, 2024
December 4-6, 2024
February 5-7, 2025
RBI MPC Meeting Live Updates: Where to check MPC announcement?
The three-day RBI MPC meeting led by Sanjay Malhotra is ending today and the decision of the policy committee will be announced at 10:00 am. One can watch the RBI governor’s speech on the official YouTube channel of RBI. Also, updates can be checked on major financial news platforms including FinancialExpress.com, and even on social media.
RBI MPC Meeting Live Updates: Introduction to the MPC members
The RBI’s Monetary Policy Committee (MPC), headed by RBI Governor Sanjay Malhotra, consists of six members – three internal members and three external members. In October, the three external members were appointed by the Centre. The new members are Saugata Bhattacharya, Economist; Dr Nagesh Kumar, Director and Chief Executive, Institute for Studies in Industrial Development; and Professor Ram Singh, Director, Delhi School of Economics, University of Delhi.
The three internal members are Chairperson Sanjay Malhotra, RBI Deputy Governor in charge of monetary policy Michael Debabrata Patra and Executive Director monetary policy department of RBI, Rajiv Ranjan.
Interestingly, this is the first policy meeting of the RBI governor who took charge of the office in December 2024.
RBI MPC Meeting Live Updates: Welcome to this live blog!
Good Morning! With the newly appointed RBI Governor Sanjay Malhotra all set to announce the decision of his first policy committee meet on the key interest rates, we, at FinancialExpress.com, are all set and ready to bring to you all the updates on the repo rate, economists’ views on the same, factors that may or may not have an impact on the decision, state of the Indian economy, growth rate, inflation projections and much more. Stay tuned for all the updates.