RBI MPC meeting at a glance: Your one-stop guide for all key decisions

The Reserve Bank of India (RBI) cut the repo rate by 25 basis points to 6% on Wednesday, 9 April 2025. The decision was taken unanimously by the Monetary Policy Committee (MPC) after a three-day meeting held from 7 to 9 April under the chairmanship of RBI Governor Sanjay Malhotra.

Other key rates adjusted

• Standing Deposit Facility (SDF): 5.75%
• Marginal Standing Facility (MSF): 6.25%
• Bank Rate: 6.25%

The RBI also changed its stance from 'neutral' to 'accommodative'.


The RBI said the global economic outlook is facing new challenges due to recent trade tariff announcements. These developments have caused sharp falls in the dollar index, equity markets, and crude oil prices. The RBI added that this uncertainty is a fresh risk to both global and Indian growth.

Growth forecast for FY26

India’s real GDP growth for 2025-26 is now projected at 6.5%.
Break-up by quarter:

• Q1: 6.5%
• Q2: 6.7%
• Q3: 6.6%
• Q4: 6.3%

The RBI expects rural demand to remain strong, urban consumption to bounce back, and government spending on capital projects to support investment. However, trade tensions may weigh on merchandise exports, while services exports are likely to stay stable.

Inflation outlook

Consumer inflation (CPI) fell sharply in early 2025, dropping from 5.2% in December 2024 to 3.6% in February 2025. Food inflation also hit a 21-month low due to better vegetable prices. The outlook for food prices remains positive, with record wheat production and strong arrivals of other crops expected.

The RBI projects CPI inflation for FY26 at 4%, assuming normal monsoon conditions.
Break-up by quarter:

• Q1: 3.6%
• Q2: 3.9%
• Q3: 3.8%
• Q4: 4.4%

While inflation risks remain, especially from global market swings or poor weather, the RBI believes they are evenly balanced.

The next MPC meeting is scheduled from 4 to 6 June 2025.