RBI MPC Meeting 2025 Live Updates: The Reserve Bank of India (RBI) Governor Sanjay Malhotra will announce the first bi-monthly monetary policy of the financial year 2025-26 on Wednesday, April 9.
This comes against the backdrop of external economic challenges like tariff war and US recession risks, moderating inflation, and proposed changes in liquidity management. The MPC’s decision will be crucial in balancing growth and price stability amid global uncertainties.
Apart from the repo rate, the RBI Governor will also talk about growth projection, the state of inflation, among other things. RBI’s first MPC of FY26 that commenced on April 7 is likely to announce a rate cut of 25 bps. The Central Bank’s probable decision to cut the benchmark interest rate is seen as an attempt to protect the Indian economy from the impact of the tariff troubles.
What can we expect from RBI Governor Sanjay Malhotra?
In the previous monetary policy review meeting in February 2025, the central bank had cut the repo rate by 25 basis points, which was the first interest rate reduction since COVID times (May 2020), to 6.25 per cent.
According to analysts, the February 2025 CPI inflation print falling well below 4% has cemented the expectation of a back-to-back 25 bps rate cut in the April 2025 MPC meeting.
In February, India’s CPI inflation slowed ot a seven-month low of 3.61 per cent on the back of ease in the prices of food and protein-rich items.
The RBI has been tasked to keep retail inflation at 4 per cent with a margin of 2 per cent on either side. The central bank cut the key repo rate by 25 basis points last month to ease concerns on the inflation front.
