RBI MPC Repo Rate Response By Dharmendra Raichura – VP & Head of Finance at Ashar Group

The Reserve Bank of India’s Monetary Policy Committee (MPC) made the strategic decision to maintain the repo rate at 6.5%.  This resolution extends favourable conditions for potential homebuyers, contributing to resilience and vitality in the real estate sector. Consistent home loan rates enhance consumer confidence, underpinning investment decisions and fostering an environment conducive to sustained development.

The government has mandated the RBI to keep inflation at 4% with a comfort band of 2% in both directions. Additionally, GDP growth in the January-March quarter is anticipated to be 8% or above. India’s GDP expanded by 8.2%, 8.1%, and 8.4% in the first three quarters of FY24.