RBI holds repo rate at 5.25%, raises FY27 growth forecast to 6.7%

9 August 2026National

The Reserve Bank of India (RBI) concluded the 3rd bi-monthly Monetary Policy Committee (MPC) meeting of FY2026-27 (held 3-5 August 2026) and kept the repo rate unchanged at 5.25%, retaining a neutral stance. The decision was unanimous. Governor Sanjay Malhotra said the MPC sought greater clarity on the inflation outlook before acting, noting the recent rise in headline inflation was driven mainly by food and fuel with little sign of generalisation. The MPC raised its FY27 real GDP growth forecast to 6.7% (from 6.6%) and lowered its CPI inflation projection to 5.0% (from 5.1%). The next MPC meeting is scheduled for 5-7 October 2026.

Static GK

RBI established: 1 April 1935 (RBI Act, 1934) | HQ: Mumbai | Governor: Sanjay Malhotra (26th) | MPC: 6 members (3 RBI + 3 govt), Governor has casting vote | Inflation target: 4% (+/-2%)

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RBI's August 2026 MPC held the repo rate at 5.25% with a neutral stance, revising FY27 GDP growth up to 6.7% and CPI inflation down to 5.0%.

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