RBI repo rate cut expectations rise as inflation falls
after close1 source ↓written by the desknot a recommendation
- in October 2025
- 0.25%
- inflation
- 2%
- forecast
- 2.6%
India’s retail inflation has dropped to a historic low of 0.25% in October 2025, driven by easing food prices and GST cuts. This has reignited discussions on potential monetary policy easing by the Reserve Bank of India (RBI).
Despite favorable inflation data, the RBI may proceed cautiously due to resilient growth signals and credit market imbalances. Economists project FY26 inflation at around 2%, below the RBI's 2.6% forecast, suggesting a conducive environment for rate cuts.
Not investment advice. For informational purposes only.