RBI MPC Repo Rate April 2025 by Mr Dharmendra Raichura, VP of Finance at Ashar Group and Mr Sunny Bijlani, the Joint-Managing Director at Supreme Universal
Mr. Dharmendra Raichura- VP & Head of Finance at Ashar Group
The RBI’s anticipated 25-basis-point cut in the repo rate, bringing it down to 6.00%, signals a strategic move towards balancing economic growth with inflation stability. For the real estate sector, this move is expected to give a strong boost by reducing borrowing costs for both homebuyers and developers. Improved credit access will enhance affordability and encourage those who were waiting for the right time, especially in the mid-income and premium segments to move forward with their home-buying decisions. From a developer’s perspective, the rate cut opens the door to more cost-effective financing. This allows for greater focus on faster project execution, superior construction quality, and the launch of more customer-centric offerings. It also boosts buyer confidence, increasing enquiries, site visits, and conversion rates. Combined with stabilising inflation and a steady pace of urbanisation, this supportive policy move sustains market momentum and strengthens the foundation for long-term sectoral growth.
Sunny Bijlani, Joint Managing Director – Supreme Universal
The RBI’s decision to cut the repo rate by 25 basis points to 6% in April 2025 is a significant relief for homebuyers navigating rising property prices and inflation. For customers, this translates to lower home loan interest rates, making EMIs more manageable and premium homeownership more attainable. It’s a powerful enabler for buyers looking to upgrade to spacious, well-designed residences that align with their aspirations. With better financing flexibility, developers can focus on timely delivery, superior amenities, and curated living experiences. This rate cut not only encourages confident buying decisions but also reinforces the industry’s role in delivering future-ready homes that cater to evolving urban lifestyles.
Ms. Manju Yagnik, Vice Chairperson of Nahar Group and Senior VP, NAREDCO, Maharashtra
The Reserve Bank of India’s anticipated decision to cut key interest rates by 25 bps to 6% is a welcome move for the housing sector’s upcoming fiscal year, FY26. Lower interest rates will make home loans more affordable, enhancing the purchasing power of potential homebuyers and stimulating demand across various segments of the real estate market. This reduction is particularly timely, as it aligns with the current momentum in the housing market, encouraging both first-time buyers and investors to consider property acquisitions. Furthermore, decreased borrowing costs are likely to invigorate the affordable housing segment, making homeownership more accessible to a broader demographic. Overall, this rate cut is poised to bolster consumer confidence and contribute positively to the growth trajectory of the real estate industry.
