Governor Sanjay Malhotra says the RBI MPC meeting: the central bank reduces 6.25 %.

The governor of the Indian Reserve Bank (RBI), Sanjay Malhotra, announced on Friday that the central bank had reduced the Ribo Returning Policy rate by 25 basis points from 6.5 percent to 6.25 percent. The decision was made by unanimously.

The MPC Committee decided to maintain a neutral position. He added that the SDF rate is 6 percent and the bank rate must be linked by 6.5 percent.

In his speech, the ruler said that the framework for targeting flexible inflation has served India well, with the addition of the economy’s interest requires financial stability.

Commenting on the RBI decision to reduce the rate of ribo by 25 basis points, national President Credai Boman iRani said: “RBI decision to reduce the rate of ribu by 25 basis points to 6.25 % of modern budget notes aimed at enhancing spending and stimulating economic growth was this supportive monetary policy. It is necessary, especially after the last bus points in the cash reserve (CRR), which already injected large liquidity into the banking system. Next. These scales will be provided at the next MPC meeting, stronger for demand, and acceleration of housing sales, especially in medium -income parts and reasonable prices.

During its meeting in December 2024, RBI maintained the ribau unchanged at 6.5 percent for the eleventh consecutive time due to the challenges arising from inflation. The rate of increased rate was placed on a temporary stop in April of last year after 6 consecutive heights in the ribau rate, which has gathered to 250 basis points since May 2022.

This was the first meeting of the RBI Monetary Policy Committee with Sanjay Malhotra as a governor of the Central Bank. RBI MPC met from 5-7 February, 2025.