The repo rate now stands 50 basis points higher at 5.9%, with other rates going up by the same magnitude. An ET poll of economists and investors had pegged the rate increase at 50 bps. Retail inflation is hovering at a multi-year high, having touched 7% in August and likely to have accelerated further in September.
Market expects one more rate cut as inflation stays benign
Indian economists and bond market experts expect another quarter percentage point cut in policy rates. This follows the Reserve Bank of India’s recent rate reduction
December 9, 2025