The Reserve Bank of India, or RBI, is expected to slash repo rates very soon, as per an HSBC report. Get all the details here in our developing news story.
Importance of Repo Rate
The repo rate serves as the heartbeat of India's monetary system, since it is the rate at which the Reserve Bank of India lends to commercial banks. This indicator is especially important for homebuyers because it has a direct impact on loan interest rates, making property ownership more affordable or more expensive depending on which direction the needle swings.
Repo rate cuts in 2025
In a daring bid to boost economic activity, the RBI cut the repo rate multiple times in 2025, bringing it down to 5.50%. These decreases come after months of lower inflation and more stable financial conditions.