RBI April 9 Repo Rate Highlights: 'These are episodes, not failures - RBI Guv Sanjay Malhotra on IndusInd crisis

The RBI’s 25 bps repo rate cut is a clear signal to support growth while maintaining vigilance on inflation. For India’s credit-starved MSMEs and middle-class borrowers, even a marginal reduction in borrowing costs can unlock meaningful financial relief. However, the real test lies in the speed and efficiency with which the financial system transmits this benefit to end consumers. Monetary policy can be a powerful enabler, but its real impact will depend on coordinated execution, structural reforms, and the agility of our financial institutions. The MPC’s stance reflects cautious optimism—acknowledging easing inflation trends while staying alert to global uncertainties such as volatile commodity prices, geopolitical tensions, and shifts in global monetary policy.

• At a system level, we are very safe, secure: RBI Guv
• These are episodes, not failures: RBI Guv on IndusInd crisis
• We just have to ensure, through various means, that these episodes happen lesser in frequency: Guv

• Swaminathan RBI DG: Digital fraud is major concern for all of us and RBI is working proactively to combat this.
• Malhotra: Co-lending has helped in priority sector lending. We are expanding it to other segments to get benefitted

• Malhotra: We do not target any level for currency. Market in India is deep and market knows what the levels should be. Any excessive volatility in rupee, there will be an intervention if required.
• India's markets are deep and broad, with well-understood levels by market forces. Still, we'll intervene if excessive volatility demands it: RBI Guv

The impact of tariff on India vis-a-vis other countries is much less, says RBI Governor Sanjay Malhotra

• Malhotra: Banks can invest in insurance companies
• Malhotra: We want transmission to happen as quickly as possible.

Draft gold loan circular will be out in public domain shortly, says RBI deputy governor

RBI Repo Rate News Live: Never said tightening in my statement - RBI Guv Sanjay Malhotra on gold loan guidelines

There is no worry on personal loan front, says RBI Governor Sanjay Malhotra

Malhotra: Lifting the economy will be a joint effort of government and RBI

Malhotra: We do not have prescription for CD ratio

• More than inflation, concerned about tariff impact on growth, says RBI Governor Sanjay Malhotra
• We will provide sufficient liquidity for the purposes of monetary policy transmission: Malhotra
• The trend on rates is going to be downwards, says RBI Governor Sanjay Malhotra
• Malhotra: The aim really is look at policy rate. We will keep liquidity surplus

• The recent 25 bps repo rate cut by the RBI is expected to catalyse fresh demand in the retail lending segment, especially as consumers look to optimize their EMIs. Lower rates not only reduce borrowing costs but also act as psychological triggers for users to reassess and restructure their existing loans.
  From a fintech lens, we see this as an opportunity to deepen digital loan adoption. More users are now digitally comparing offers, simulating balance transfers, and seeking clarity on what they stand to save. For instance, over a Rs 1 crore home loan, the cumulative savings post the December and April rate cuts could exceed Rs 1.2 lakh annually, depending on tenure and rate reset cycles.
• As awareness increases and regulatory frameworks push for more transparency in lending, digital platforms will play a pivotal role in bridging the gap between falling policy rates and real savings for borrowers.” - Siddarth Jain, CFO at MinEmi

RBI Repo Rate News Live: RBI Governor Sanjay Malhotra addresses media after rate cut announcement

• Kaushik Das, Chief Economist, Deutsche Bank
• Could See CNH Depreciating Over The Next Few Weeks
• Now, The Focus Should Be On Liquidity & Transmission
• RBI Should Pause & Assess The Impact Of These Policy Measures
• The Global Conditions Before Making Another Decision In August
• Liquidity Will Be Quite Sufficient In May After The Dividend
• Repo Rates Should Not Come Down To 5% At The Current RBI Growth Forecasts

Shares of Muthoot Finance, IIFL Finance, Manappuram Finance, and Cholamandalam Investment and Finance Company dropped by as much as 10% on April 9, following an announcement from the RBI Governor. The Reserve Bank plans to soon release comprehensive regulations governing loans backed by gold. Additionally, the co-lending framework will be broadened to include all regulated entities. In his remarks after the monetary policy meeting, Sanjay Malhotra stated that detailed guidelines will also be introduced for gold loans and non-fund-based credit. (Read More)

• The Reserve Bank of India's decision to cut the policy rate by 25 basis points to 6 percent comes at a pivotal moment, as inflation begins to stabilize and the broader economic outlook becomes more conducive to growth supported by lower interest rates. This forward-looking move is expected to significantly lift homebuyer confidence, with reduced borrowing costs making home ownership more affordable and enticing more people to invest in real estate.
• For developers, the rate cut eases financing pressures, providing the flexibility to accelerate project launches, expand their offerings, and meet the expected uptick in housing demand. Overall, this rate reduction is a well-timed and encouraging development, poised to energize the entire real estate ecosystem and deliver benefits to both homebuyers and industry players alike. - Pradeep Aggarwal, Founder & Chairman, Signature Global

RBI Repo Rate News: Home loan interest rates are expected to decline further after the Reserve Bank of India (RBI) announced a 25 basis point cut in the repo rate on April 9—marking the second consecutive reduction. Following the Monetary Policy Committee’s (MPC) decision, the repo rate has been brought down to 6 percent from the previous 6.25 percent. (Read More)

"We welcome the RBI’s decision to cut the repo rate by 25 basis points to 6.00%. In the face of global economic uncertainty driven by rising tariffs and geopolitical tensions, this move signals a continued tilt towards a pro-growth policy approach, supported by easing inflation and a stabilizing macroeconomic environment. With CPI inflation projected to ease to around 4.5%, the timing of the rate cut is apt for boosting consumer confidence and enhancing credit availability—particularly in the housing market. This reduction is expected to improve home loan affordability, spur housing demand, and provide a significant boost to the mid-income and affordable segments, which are especially sensitive to interest rate changes. The RBI’s ongoing policy accommodation reaffirms its focus on fostering economic growth while maintaining macroeconomic stability." -- Boman Irani, President, CREDAI National

• In its first bi-monthly monetary policy of FY26, the six-member Monetary Policy Committee (MPC) of Reserve Bank of India decided on 25 bps cut in key interest rates in the backdrop of moderating inflation and the need to stimulate growth as Trump tariffs pose severe challenges to the global economy.
• The decision was announced by Governor Sanjay Malhotra on April 9. "MPC voted unanimously to cut repo rate by 25 bps to 6%," said Malhotra. (Read More)

“The reduction in the repo rate is a positive sign for the entire real estate sector. The MPC’s decision to lower interest rates will make home loan more affordable, encouraging fence-sitters to take buying decisions. It will usher in benefits across affordable, mid-income, and premium segments. The rate cut also eases financing costs for developers and thus benefit ongoing and upcoming projects. Overall, we see this move to stimulate demand, boost buyer sentiment, and contribute better to sustained growth in the housing market.” -  Chintan Sheth, Chairman and Managing Director of Sheth Realty

• We propose to enable securitisation of stressed assets through market based mechanism: Malhotra
• Loans against the collateral of gold loans, are extended by regulated entities, to both banks and NBFCs: Malhotra

• Real GDP is now projected for this fiscal at 6.5% with q1, q2 at 6.7% q3 at 6.6% and q4 at 6.3%: Malhotra
• Malhotra: The outlook for food inflation turn positive

• Malhotra: Investment activity has gained traction
• Manufacturing activity is showing signs of revival, with business expectations remaining robust: Malhotra
• Urban consumption is gradually picking up with an uptick in discretionary spending: Malhotra

Slow down in global growth could entail further softening in commodity and crude oil prices: Malhotra

• Malhotra: Uncertainty itself dampens growth
• Second, the dent on global growth due to trade frictions will also impede domestic growth: Malhotra
• Malhotra: Higher tariff shall have negative impact on net exports, there are several known and unknown
• Higher tariffs shall have a negative impact on net exports: Malhotra

• RBI cuts repo rate by 25 bps
• After a detailed assessment of the evolving macroeconomic and financial conditions and output, the MPC voted unanimously to reduce the policy repo rate by 25 basis points to 6% with immediate effect: Malhotra
• Consequently, the standing deposit facility, the SDF rate, under the liquidity adjustment facility, shall stand adjusted to 5.75%, and the marginal standing facility, rate of the MSF rate and the bank rate shall stand adjusted to 6.25%: Malhotra
• Growth is still on the recovery path

Some of the concerns of the trade frictions are coming true, unsettling the global community, says RBI Governor Sanjay Malhotra

Overall, the year has begun on an anxious note for the global economy, says RBI Governor Sanjay Malhotra

The wait is over! RBI Governor Sanjay Malhotra is delivering his much-anticipated address on benchmark interest

• RBI Repo Rate News: The Reserve Bank of India is expected to cut the repo rate by 25 basis points to 6% in the upcoming Monetary Policy Committee (MPC) meeting, in a bid to boost consumption and accelerate economic growth. A lower policy rate typically encourages borrowing, prompting more individuals to invest in property purchases and driving demand in the housing sector.
• However, the effectiveness of this rate cut will largely hinge on how quickly and efficiently commercial banks pass on the benefits to borrowers. For the desired outcomes to be realized, a swift and seamless transmission of the lower rates is essential. Improved rate transmission would likely spur greater demand for retail loans, particularly home loans, providing a lift to the real estate market and supporting broader economic growth. -- Pradeep Aggarwal, Founder & Chairman, Signature Global

• RBI Repo Rate News: Experts suggest that the RBI is unlikely to opt for a more aggressive rate cut at this stage, given the growing uncertainty stemming from the ongoing trade war.
• “The escalation in trade tensions, particularly the recent tariff hikes by the United States, has sparked concerns over their possible effects on India’s economic growth. As a result, a substantial 50 basis point rate cut in the near term seems improbable,” said Ravi Singh, Senior Vice President of Retail Research at Religare Broking.

It's time! RBI Governor Sanjay Malhotra has arrived at the RBI Headquarters.

RBI Governor Sanjay Malhotra will be making the announcement regarding the benchmark interest rates from 10 am onwards. Stay with us to find out whether the central bank has decided to lower repo rate or not.

RBI Repo Rate News: New Zealand’s central bank lowered its benchmark interest rate by 25 basis points to 3.50% on Wednesday, aiming to stimulate a faltering economy and address risks stemming from global trade tariffs. The move aligned with expectations from a Reuters poll, where all 31 economists surveyed predicted a fifth consecutive rate cut by the Reserve Bank of New Zealand. Since August, the central bank has slashed rates by a total of 200 basis points.

Indian benchmark indices, the Nifty 50 and Sensex, opened sharply lower on April 9, weighed down by negative global cues amid rising tariff tensions. Market sentiment is also being influenced by the RBI’s Monetary Policy Committee (MPC) decision and the weekly expiry of the indices. As of 09:15 am, the Sensex had dropped 442.59 points or 0.60 percent to 73,784.49, while the Nifty fell 144.90 points or 0.64 percent to 22,390.95. Market breadth was mixed, with 8 stocks advancing, 1 declining, and 3,917 remaining unchanged. (Read More)

Rupee Check | Rupee Opens At 86.47/$ Vs Tuesday’s Close Of 86.27/$

• RBI Repo Rate News: Gold prices climbed on Wednesday as a weakening dollar and growing concerns over impending U.S. tariffs prompted investors to seek refuge in the safe-haven asset. With global trade tensions intensifying and recession fears on the rise, demand for gold increased.
• As of 0250 GMT, spot gold was up 0.6% at $3,000.13 per ounce, while U.S. gold futures advanced 0.8% to $3,014.40.
• The dollar slipped ahead of the expected implementation of President Donald Trump's tariffs, making dollar-denominated gold more affordable for international buyers. - Reuters

RBI Repo Rate News: The RBI’s April policy meeting takes place against the backdrop of rising global trade tensions following recent tariff hikes by the US, fueling concerns of a potential global recession. On April 2, US President Donald Trump unveiled broad reciprocal tariffs targeting major trading partners. In addition to country-specific duties, he introduced a 10% baseline tariff across the board. India was hit with a 26% reciprocal tariff—half the rate it currently imposes on US imports.

RBI Repo Rate News: At its February 2025 policy meeting, India’s central bank reduced the repo rate by 25 basis points—its first rate cut in almost five years—while maintaining a “neutral” monetary stance.

• Finance Minister Nirmala Sitharaman chaired the India-UK Investor Roundtable in London, drawing participation from around 60 UK-based investors, including representatives from pension funds, insurance firms, banks, and other financial institutions.
• As per the Ministry of Finance, the high-level meeting held on Tuesday evening focused on the government's priorities for driving sustained economic growth and unlocking investment opportunities, backed by supportive policies shaping the vision of a "New India."

In its previous monetary policy announcement, the RBI’s Monetary Policy Committee (MPC) lowered the benchmark repo rate by 25 basis points—from 6.5% to 6.25%—marking the first rate cut in almost five years. The committee also chose to maintain its neutral policy stance.

The yield on the 10-year benchmark government bond (6.79% GS 2034) was trading at 6.589 percent at 12 pm, marking its lowest level since January 14, 2022, when it stood at 6.582 percent, according to Bloomberg data.

Yields on government bonds, particularly the 10-year benchmark, have been on a consistent downtrend through March. So far this month, the benchmark yield has softened by nearly 15 basis points (bps), reflecting improved sentiment in the debt market.

Yields on government securities dropped to a three-year low on March 27, driven by a combination of sustained foreign investor inflows, cooling inflation, and rising expectations of a policy rate cut by the RBI.

In an effort to support the economy, newly-appointed central bank chief Malhotra has adopted a more growth-oriented stance compared to his predecessor, Shaktikanta Das. At his first policy meeting in February, he delivered the first rate cut in five years and has since pumped over $80 billion into the banking system over the past two months. With global uncertainties on the rise, traders anticipate that the RBI will continue its record liquidity infusion.

India's softer-than-expected inflation last month, coupled with a decline in oil prices, is providing the RBI with more room to maintain its accommodative policy stance.

India's economy is estimated to have grown by 6.5% in the previous fiscal year, marking its slowest expansion since the pandemic. Adding to concerns, unexpectedly high US tariffs could further weigh on growth prospects. In response, economists have started trimming their forecasts for the current fiscal year. Goldman Sachs Group Inc., for instance, has revised its projection down to 6.1% from an earlier 6.3%, significantly below the Reserve Bank of India's estimate of 6.7%.

The market rebounded strongly on April 8, with the Nifty 50 climbing 1.7 percent after a sharp correction the previous day. This recovery was driven by gains in global markets and optimism ahead of the RBI’s policy meeting today, where expectations of a repo rate cut are building. Despite the upmove, the index remains below all major moving averages—a bearish signal—while the elevated VIX continues to reflect market anxiety. Still, a bullish divergence has sparked optimism for a potential continuation of the rally. (Read More)

With banks like Central Bank of India, Union Bank of India, Punjab National Bank, and Bank of India offering home loan interest rates between 8.1% and 8.15%, a repo rate cut today could pave the way for rates to fall below 8% per annum. (Read More)

Hello and welcome to Moneycontrol's live coverage of RBI MPC. Attention will turn to RBI Governor Sanjay Malhotra as he presents the first monetary policy of the 2025-26 financial year, following the three-day meeting of the Monetary Policy Committee (MPC). Economists and market participants are largely predicting a 25 basis point cut in the repo rate, a development that could bring additional relief to home loan borrowers through lower interest rates.