RBI’s latest policy shift lowers rates and upgrades India’s economic outlook

RBI cut the repo rate, raised GDP projections, and signaled limited impact from US tariffs as inflation expectations eased for the fiscal year.

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RBI’s latest policy shift lowers rates and upgrades India’s economic outlook

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RBI’s latest policy shift lowers rates and upgrades India’s economic outlook
RBI cut the repo rate, raised GDP projections, and signaled limited impact from US tariffs as inflation expectations eased for the fiscal year.
The Reserve Bank of India reduced the repo rate to 5.25% while projecting inflation at 2% for the fiscal year, reflecting confidence in price stability. The central bank upgraded GDP expectations to 7.3%, up from 6.8%, citing improved domestic demand and resilient services activity. Governor statements suggested that recent US tariff actions would have minimal economic impact, reinforcing India’s stable external position.
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