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Sign in to search57th Monetary Policy Committee (MPC) Meeting of Reserve Bank of India: Policy Continuity with Strategic Fine-Tuning
The 57th meeting of the Monetary Policy Committee (MPC) of the Reserve Bank of India was held from 29 September to 1 October 2025. The committee unanimously decided to retain the policy repo rate at 5.5%, reflecting a calibrated approach to balance growth support with price stability.
A key outcome of the meeting was the downward revision of CPI inflation forecast for FY 2025–26 to 2.6%, from the earlier estimate of 3.1%. Inflation is expected to remain subdued in the near term, with quarterly projections of 1.8% in Q2 and Q3, rising to 4.0% in Q4 and 4.5% in Q1 of FY27. This moderation provides policy space to maintain accommodative conditions without compromising inflation targeting.
On the growth front, the MPC revised GDP growth forecast upward to 6.8% for FY26, signalling confidence in India’s macroeconomic resilience, domestic demand, and investment momentum. The committee reiterated its neutral policy stance, emphasising flexibility and data-dependence rather than rigid tightening or easing.
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RBI's 57th MPC meeting holds repo rate at 5.5%, revises CPI inflation to 2.6% and GDP growth to 6.8%, with strategic liquidity measures for macroeconomic stability.
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