The Reserve Bank of India (RBI) has kept the repo rate unchanged at **5.25%** and projected India's real GDP growth for the current fiscal year (FY27) at **6.9%**. This reflects a confident economic outlook despite global uncertainties, with CPI inflation projected at **4.6%**.
6.9%
FY27 GDP Growth Projection
August 2026: 6.7%→6.9%
⏳ Time Machine
How today’s news fits into the bigger picture
June 2026
FY27 Projections Announced
During its June policy meeting, the RBI projected India's real GDP growth for FY27 at **6.6%** and CPI inflation at **5.1%**, reflecting an initial assessment of the fiscal year's outlook.
August 5, 2026
Repo Rate Unchanged, GDP Forecast Raised
The MPC unanimously kept the repo rate at **5.25%**. The RBI raised its FY27 GDP growth forecast to **6.7%** from **6.6%** and lowered its inflation projection to **5.0%** from **5.1%**, citing resilient domestic activity.
September 11, 2026
Governor Mentions October Reassessment
RBI Governor Sanjay Malhotra stated that the MPC would reassess growth and inflation dynamics at its next meeting in October, acknowledging the impact of rising crude oil prices due to the West Asia conflict.
September 12, 2026
SBI Research Recommends Rate Hike
SBI Research advocated for a **25 basis point** repo rate hike in October and another in December, citing renewed risks from elevated crude oil prices and geopolitical tensions.
Today
The RBI maintained its repo rate at 5.25% and projected India's FY27 GDP growth at 6.9% and CPI inflation at 4.6%.
What happens next?
The RBI's Monetary Policy Committee will conduct its next scheduled meeting on October 5-7, 2026, to reassess economic dynamics and potentially signal future policy adjustments.
The Reserve Bank of India (RBI), in an announcement on Saturday, September 12, 2026, confirmed that its Monetary Policy Committee (MPC) has unanimously decided to maintain the policy repo rate at **5.25%**. This decision keeps the standing deposit facility rate at **5.00%** and the marginal standing facility rate and Bank Rate at **5.50%**. RBI Governor Sanjay Malhotra stated that the MPC retained a neutral stance, emphasizing a vigilant approach to evolving economic conditions. The central bank now projects India's real GDP growth for the current fiscal year (FY27) at a robust **6.9%**, and anticipates Consumer Price Index (CPI) inflation to be **4.6%**. This updated outlook reflects resilience in the Indian economy, even as global geopolitical tensions, particularly the West Asia conflict, continue to pose risks to the growth and inflation trajectory.
💭 If you're wondering…
A neutral stance means the central bank is not actively seeking to stimulate or curb economic activity through interest rate changes. Instead, it aims to maintain a stable environment and respond flexibly to evolving economic data.
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Official sources
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