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2026-08-05 07:35 UTC → 2026-08-05 10:24 UTC ·
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The On 5 August 2026 the Reserve Bank of India’s Monetary Policy Committee met for the fourth consecutive time and on 5 August 2026 kept left the benchmark policy repo rate at 5.25 percent, maintaining a neutral policy stance. The with the Standing Deposit Facility at 5.0 percent and the Marginal Standing Facility rates remained at 5.0 percent and 5.5 percent respectively. Retail‑price inflation for June was 4.38 percent, within the RBI’s 2‑6 percent tolerance band. maintaining a neutral stance. Governor Sanjay Malhotra cited persistent global uncertainties – notably West‑Asia tensions, volatile oil prices highlighted strong private consumption, robust manufacturing and monsoon‑related risks – while noting that services activity, and resilient export performance as the domestic economy stays resilient. The central bank raised its basis for raising the FY27 GDP‑growth real‑GDP growth forecast to 6.7 percent, up percent (up from 6.6 percent, on the back of strong domestic demand, robust private consumption and continued expansion in manufacturing, services and exports. CPI inflation is projected at 5.0 percent). Inflation expectations were trimmed to a 5 percent CPI projection for FY27, the year, with a peak around 5.9 percent in June retail‑inflation at 4.38 percent, still within the third quarter, and core inflation remains moderate. Foreign‑exchange reserves were about $682 billion in late July 2026, providing ample buffers. 2‑6 percent tolerance band. The steady repo rate is expected to keep home‑loan, auto‑loan decision matched market expectations, keeping home‑loan and other floating‑rate auto‑loan EMIs unchanged for borrowers. and bolstering capital inflows and rupee stability amid global uncertainties.