RBI raises repo rate to 5.50%, shifts to calibrated tightening

The Reserve Bank of India increased its repo rate by 25 basis points to 5.50% on October 7. The Monetary Policy Committee voted unanimously for the increase.

The policy stance shifts to calibrated tightening. The standing deposit facility rate is now 5.25%, while the marginal standing facility and Bank Rate are 5.75%. RBI said further action would depend on growth and inflation developments.

Source report: RBI Governor’s Statement, 7 October 2026.

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