RBI holds repo at 5.25%, lifts FY27 growth forecast to 6.7%
The RBI retained its neutral stance, kept the repo rate unchanged at 5.25% and cut its FY27 CPI inflation forecast to 5%. The outlook signals stable borrowing costs and a potentially firmer consumption backdrop, while food, fuel, crude, tariffs and El Niño remain risks.
RBI held the repo rate at 5.25% and retained a neutral stance, while raising FY27 GDP growth forecast to 6.7%. It cut its FY27 inflation forecast to 5% but flagged food, fuel, crude oil, tariffs and El Nino risks.
Why this matters
The decision follows RBI proposals for harmonised and common loan-rate rules, as well as an earlier 5.25% repo hold that lifted auto and realty stocks.
Retail-company signals are accelerating, up 207771% QoQ.