No change this time, RBI pauses after 3 cuts. Inflation down, global risks up. Here are key details

👉 Repo rate at 5.5%
– After 3 rate cuts totaling 100 bps since Feb 2025
– Unanimous decision

👉 Policy stance: Neutral
– Same as June 2025 (after being accommodative in April)

👉 FY26 GDP forecast: 6.5%
– No changes across quarters
– RBI sees “resilient rural consumption” and “buoyant services sector”
– Industrial sector subdued

👉 FY26 CPI inflation forecast lowered to 3.1%
– Down from earlier 3.7%
– Q2 FY26 CPI at 2.1%

👉 Comment by Governor Sanjay Malhotra:
– RBI sees “very little policy room” left for more rate cuts
– Emphasized cautious optimism amidst global risks
– RBI to maintain close vigil and act policy-to-policy

👉 Jan Dhan Scheme turns 10
– Re-KYC camps across rural India till Sept 30
– Focus on doorstep services, micro-loans, insurance, etc.

👉 Liquidity:
– RBI hinted at continued support for smooth credit flow
– Internal group report on liquidity management to be published soon

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Shruti Malhotra

Shruti Malhotra is a seasoned tech consultant with over six years of experience, specializing in digital transformation and innovation, sharing her expertise through insightful content.

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