RBI holds repo rate at 5.25%, trims FY27 inflation forecast to 5%
The RBI retained its neutral stance and left the repo rate unchanged at 5.25%, while lowering its FY27 inflation projection from 5.1% to 5.0%. The outlook signals contained underlying price pressures, though food and fuel volatility remains a watchpoint for consumer demand and retail margins.
RBI held the repo rate at 5.25% and retained a neutral stance while lowering its FY27 inflation forecast to 5%. Food and fuel prices lifted headline inflation, but underlying pressures remain contained, with policy action dependent on the inflation-growth outlook.
Why this matters
The decision extends RBI’s recent 5.25% repo-rate hold and neutral-stance signals, while the 5.0% FY27 inflation outlook follows its recent inflation forecast cut and 6.7% growth upgrade.
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