RBI REPO RATE 2025: LATEST UPDATE, CHANGES, AND MARKET IMPACT
The interest rate that the Reserve Bank of India ( RBI ) charges commercial banks for short-term loans is known as the repo rate . This is the rate at which banks borrow from the RBI. Interest rates on consumer loans , including home, personal, and auto loans, are impacted by the RBI's manipulation of the repo rate, which also affects banks' borrowing costs. While a higher repo rate reduces inflation by making borrowing more expensive, a lower rate makes credit more affordable, increasing borrowing, spending, and economic growth. RBI Repo Rate 2025 – Latest Update RBI Repo Rate 2025 – Latest Update As of the latest policy review on December 5, 2025, RBI has cut the repo rate by 25 basis points , bringing it down to 5.25%. RBI maintained a neutral monetary policy stance even after this cut. Recent Changes in Repo Rate – 2025 Timeline RBI Repo Rate 2025 – Latest Update As of the latest policy review on December 5, 2025, RBI has cut the repo rate by 25 basis points, bring...