RBI holds repo rate at 5.25%, retains neutral stance in August 2026 policy

16 August 2026National

The Reserve Bank of India''s Monetary Policy Committee (MPC), chaired by Governor Sanjay Malhotra, unanimously held the repo rate at 5.25% at its 62nd meeting (3-5 August 2026), retaining a neutral stance. The SDF stayed at 5.00%, and the MSF and Bank Rate at 5.50%. The RBI raised its FY27 GDP growth forecast to 6.7% and lowered inflation projection to 5.0%, citing food/fuel-led price pressure rather than demand. The next MPC meeting is scheduled for 5-7 October 2026.

Static GK

RBI established: 1 April 1935 | HQ: Mumbai | MPC has 6 members (3 RBI + 3 govt); Governor holds casting vote | Repo = rate at which RBI lends to banks

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At its 62nd meeting (Aug 2026), RBI''s MPC under Governor Sanjay Malhotra held the repo rate at 5.25% with a neutral stance, raised FY27 GDP to 6.7% and cut inflation to 5.0%.

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