RBI Likely to Hold Repo Rate at 6.5%, December Cut Possible

The RBI’s Monetary Policy Committee (MPC) is expected to keep the repo rate unchanged at 6.5% during its upcoming October meeting.

Economists believe the RBI may shift its stance from "withdrawal of accommodation" to "neutral." However, many predict a repo rate cut of 25 basis points in December due to slowing growth and easing inflation. Analysts suggest the RBI may also adjust its inflation and GDP growth forecasts slightly downward. Borrowers could see stable EMIs, but MCLR-linked loan rates may rise further.



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