5 Key Takeaways From June 2025 RBI Policy Meeting
5 Key Takeaways From June 2025 RBI Policy Meeting
6 Jun, 2025
Credit: Reuters
The RBI cuts repo rate to 5.5% from 6%, making loans, especially home and personal loans,potentially cheaper if banks pass on the benefit to borrowers.
Credit: Getty
REPO RATE REDUCTION
RBI eases the Standing Deposit Facility (SDF) to 5.25%, the Marginal Standing Facility (MSF) and Bank Rate to 5.75%, aiming to smooth short-term bank liquidity.
OTHER KEY RATES ALSO ADJUSTED
The central bank expects India's GDP to grow 6.5% in FY26, backed by strong rural demand and rising investments in infrastructure.
GDP GROWTH FORECAST
RBI shifts from 'accommodative' to 'neutral' stance, meaning it will now be more cautious and will wait and watch before making further changes.
Credit: AFP
SHIFT TO NEUTRAL STANCE
Assuming normal rainfall, the RBI now expects inflation to be 2.9% in Q1 (April–June), 3.4% in Q2 (July–September), 3.9% in Q3 (October–December), and 4.4% in Q4 (January–March).
INFLATION FORECAST
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