After the tax cuts, the media class has got another major gift. The Reserve Bank of India has given a big relief to the middle class and has cut the repo rate cut (RBI REPO RATE CUT). This deduction in repo rate is 25 basis points, due to which the current repo rate has now increased to 6.25 percent. The repo rate has been cut after 5 years. Earlier, the Reserve Bank of India (RBI) reduced the repo rate in May 2020. However, after that gradually increased to 6.5 percent. The last time the repo rate was increased in February 2023.
Governor Sanjay Malhotra said that the meeting was discussed about the economy development in the meeting. The governor further said that we have decided in the meeting that the repo rate is being reduced. Now the repo rate is being reduced from 6.50 to 6.25. After the repo rate reduction, the EMI of your loan will be reduced.
The governor said that global economy is going through challenges. Also, inflation is also increasing globally. At the same time, the Federal Reserve Bank has cut the rate several times. Along with this, the political tension is also increasing. Due to which economy around the world is being affected. The Indian rupee is currently in pressure. There are many big challenges in front of the Reserve Bank.
India’s GDP growth estimates
The Reserve Bank of India has expected the country’s growth rate of 6.7 percent for FY 2026. Real GDP growth for FY 2026 is estimated to be 6.75%, April-June 2025 quarter, 7%in the July-September 2025 quarter. At the same time, it is estimated to be 6.5-6.5% in October-December 2025 and January-March 2026 quarter.
The goal of reducing inflation further
Governor Sanjay Malhotra said that this financial year 4.8 percent inflation is expected to remain. At the same time, inflation rate will be reduced further. In December, there was a change in both retail inflation and wholesale inflation. Retail inflation is at 4 months low at 5.22%. At the same time, the wholesale inflation has increased to 2.37%. It was 1.89% in November. The governor said that the Reserve Bank said that investors are used by SEBI’s platform registered by SEBI to trading in government security in the secondary market.