The Reserve Bank of India kept its benchmark repo rate unchanged at 5.25 percent for a third consecutive monetary policy meeting in June 2026, maintaining a neutral stance as a weakening rupee and Middle East conflict pressures shaped the decision.
The move matched market expectations. The standing deposit facility rate was held at 5.0 percent and the marginal standing facility rate at 5.50 percent.
The RBI lowered its GDP growth forecast for fiscal year 2026-27 to 6.6 percent from an earlier 6.9 percent estimate. Quarterly growth is projected at 6.6 percent in Q1, 6.3 percent in Q2, 6.5 percent in Q3 and 6.8 percent in Q4.
Inflation is now projected to average 5.1 percent for the fiscal year, up from a prior 4.6 percent forecast, driven by higher LPG, base metal, plastic and rubber prices amid Brent crude trading near $110 per barrel.
Created by Ayen Stabel.
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Sources:
https://tradingeconomics.com/india/interest-rate