Mumbai: The Monetary Policy Committee (MPC) in its 62nd meeting from August 3 to 5, 2026, under the chairmanship of Governor Sanjay Malhotra has kept the policy repo rate unchanged at 5.25 percent. “ After a detailed assessment of the evolving macroeconomic and financial developments and the outlook, the MPC voted unanimously to keep the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 5.25 per cent. Consequently, the standing deposit facility (SDF) rate remains at 5.00 per cent and the marginal standing facility (MSF) rate and the Bank Rate remain at 5.50 per cent. The MPC also decided to continue with the neutral stance” said RBI Governor Malhotra.
Announcing the policy decision, RBI governor Sanjay Malhotra underlined high crude oil prices amid the ongoing Iran war. He added that the headline inflation has shot up as per expectations.
However, FY27 retail inflation estimate has been reduced from 5.1 per cent earlier to 5 per cent. Similarly, the RBI has raised FY27 real GDP projection from 6.6 per cent to 6.7 per cent.