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RBI MPC Policy Decision: 25 Bps Rate Hike Expected As Governor Sanjay Malhotra Announces Verdict
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CNBC TV18•07-10-2026, 09:55
RBI MPC Policy Decision: 25 Bps Rate Hike Expected As Governor Sanjay Malhotra Announces Verdict
- •The Reserve Bank of India is set to announce its bi-monthly monetary policy decision following a three-day MPC meeting.
- •Governor Sanjay Malhotra will make the crucial announcement, with a 25 basis point repo rate hike widely expected by market participants.
- •A rate hike would mark the first increase in over three years, reversing the cumulative 125 basis points cut seen in 2025.
- •Retail inflation rose to 4.82 percent in August, remaining a primary driver for the central bank's policy review alongside geopolitical pressures.
Key Questions Answered
A majority of participants in a PTI poll expect the Reserve Bank of India to raise the repo rate by 25 basis points during the October 2026 policy decision.
The last repo rate hike occurred in February 2023, when the central bank raised it by 25 basis points to 6.50%.
India's retail inflation rose to 4.82% in August 2026, up from 4.45% in July.
