RBI Holds MPC Meeting to Review Monetary Policy
The Reserve Bank of India on Wednesday began its Monetary Policy Committee meeting to assess macroeconomic conditions and decide on the future course of interest rates.
Rate Decision Due on Friday
The three-day meeting will conclude on Friday, when the RBI will announce its policy decision. The committee will review inflation trends, growth indicators, liquidity conditions and global economic developments before finalising its stance.
Focus on Inflation and Growth Balance
The MPC is expected to closely examine retail inflation levels, which remain within the central bank’s tolerance band, while also factoring in domestic growth momentum and external risks. The repo rate currently stands at 6.50 per cent, following a prolonged pause in rate changes.
Market Watch and Policy Signals
Apart from the rate decision, markets will closely track the RBI’s commentary on liquidity management and its outlook on inflation and growth. The policy statement is expected to provide guidance on how the central bank plans to balance price stability with economic expansion in the coming months.
The MPC meeting is a key event for financial markets, as its decisions influence borrowing costs, lending rates and overall economic sentiment.
