The RBI’s decision to cut the repo rate by 25 basis points to 6% is a strategic and timely intervention amidst the global uncertainties. We believe this rate will lower borrowing costs, hence, will prove to be a significant catalyst in enhancing manufacturers’ ability to invest in capacity expansion, R&D, and technological upgrades under the ‘Make in India’ initiative. We are pleased to witness how the RBI is prioritizing inflation stability while revitalizing economic momentum. This optimistic move is a strong sign of the government’s confidence in domestic industries. Easy accessibility of cheaper credit will accelerate project execution and boost demand for construction equipment, creating a multiplier effect on job creation and productivity. This move will not only bolster manufacturers’ confidence but also empower indigenous players to strengthen their global competitiveness. At ACE, we view this as a pivotal step toward building a self-reliant, infrastructure-led economy
