Overview
- India’s Monetary Policy Committee voted unanimously to keep the policy rate at 5.5%, with the SDF at 5.25% and MSF at 5.75%.
- RBI raised its FY26 GDP growth projection to 6.8%, revising quarterly estimates to 7.0% for Q2, 6.4% for Q3 and 6.2% for Q4.
- The central bank lowered its retail inflation outlook to 2.6% for FY26, projecting 1.8% for Q2 and Q3, and 4.0% for Q4, citing GST reforms and a stable macro backdrop.
- The Finance Ministry kept small‑savings rates unchanged for October–December: PPF at 7.1%, Senior Citizens Savings Scheme at 8.2% and Sukanya Samriddhi Yojana at 8.2%.
- With no repo change after a 100 bps easing earlier this year, loan EMIs see no immediate shift as the RBI also noted rupee pressures and signaled readiness to act if needed.