The Reserve Bank of India (RBI) left its key repo rate unchanged at 5.25% for the fourth consecutive meeting in August and maintained a neutral stance amid a weakening rupee. The decision was in line with expectations, as the Middle East conflict and global uncertainty threatened GDP growth and fueled inflationary pressures. The annual inflation rate surged to 4.38% in June 2026, marking the highest level since December 2024 and rising above the RBI's 4% target for the first time in 17 months, though it remained within the central bank's 2%–6% tolerance band. On the economic outlook, the RBI raised its GDP growth forecast for FY2026/27 to 6.7% from its previous estimate of 6.6%. Meanwhile, inflation is projected to average 5.0%, down from the previous estimate of 5.1%. Inflation is forecast at 4.7% in Q2, 5.9% in Q3, and 5.5% in Q4. Meanwhile, core inflation is projected to average 4.3%, down from 4.7%. The central bank also held the SDF rate at 5.0% and the MSF rate at 5.50%. source: Reserve Bank of India

The benchmark interest rate in India was last recorded at 5.25 percent. Interest Rate in India averaged 6.33 percent from 2000 until 2026, reaching an all time high of 14.50 percent in August of 2000 and a record low of 4.00 percent in May of 2020. This page provides - India Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. India Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on August of 2026.

The benchmark interest rate in India was last recorded at 5.25 percent. Interest Rate in India is expected to be 5.25 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the India Interest Rate is projected to trend around 5.00 percent in 2027, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-04-08 04:30 AM RBI Interest Rate Decision 5.25% 5.25% 5.25% 5.25%
2026-06-05 04:30 AM RBI Interest Rate Decision 5.25% 5.25% 5.25% 5.25%
2026-08-05 04:30 AM RBI Interest Rate Decision 5.25% 5.25% 5.25% 5.25%
2026-10-07 04:30 AM RBI Interest Rate Decision 5.25%
2026-12-04 04:30 AM RBI Interest Rate Decision
2027-02-05 04:30 AM RBI Interest Rate Decision


Related Last Previous Unit Reference
Cash Reserve Ratio 3.00 3.00 percent Aug 2026
Central Bank Balance Sheet 44578.57 45412.01 INR Billion Jun 2026
Foreign Exchange Reserves 707000.00 692870.00 USD Million Aug 2026
Interbank Rate 6.57 6.59 percent Aug 2026
RBI Interest Rate 5.25 5.25 percent Aug 2026
Bank Loan Growth YoY 19.30 17.70 percent Jul 2026
Money Supply M1 78079.15 77352.00 INR Billion May 2026
Money Supply M2 80366.19 79639.04 INR Billion May 2026
M3 Money Supply YoY 322813.02 316464.26 INR Billion Jul 2026
Reverse Repo Rate 3.35 3.35 percent Jul 2026


India Interest Rate
In India, interest rate decisions are taken by the Reserve Bank of India's Central Board of Directors. The official interest rate is the benchmark repurchase rate. In 2014, the primary objective of the RBI monetary policy became price stability, giving less importance to government's borrowing, the stability of the rupee exchange rate and the need to protect exports. In February 2015, the government and the central bank agreed to set a consumer inflation target of 4 percent, with a band of plus or minus 2 percentage points, from the financial year ending in March 2017.
Actual Previous Highest Lowest Dates Unit Frequency
5.25 5.25 14.50 4.00 2000 - 2026 percent Daily

News Stream
India Holds Rates, Revises Up FY26/27 GDP Forecasts
The Reserve Bank of India (RBI) left its key repo rate unchanged at 5.25% for the fourth consecutive meeting in August and maintained a neutral stance amid a weakening rupee. The decision was in line with expectations, as the Middle East conflict and global uncertainty threatened GDP growth and fueled inflationary pressures. The annual inflation rate surged to 4.38% in June 2026, marking the highest level since December 2024 and rising above the RBI's 4% target for the first time in 17 months, though it remained within the central bank's 2%–6% tolerance band. On the economic outlook, the RBI raised its GDP growth forecast for FY2026/27 to 6.7% from its previous estimate of 6.6%. Meanwhile, inflation is projected to average 5.0%, down from the previous estimate of 5.1%. Inflation is forecast at 4.7% in Q2, 5.9% in Q3, and 5.5% in Q4. Meanwhile, core inflation is projected to average 4.3%, down from 4.7%. The central bank also held the SDF rate at 5.0% and the MSF rate at 5.50%.
2026-08-05
RBI Sees Buoyant Economy Despite Monsoon and Oil Price Risks
The Reserve Bank of India said the economy remained resilient despite growing risks from the war in Iran and a weak monsoon, according to its July 2026 State of the Economy report. The central bank said domestic activity stayed expansive, supported by improving rural demand, firm urban consumption, and robust industrial and services sectors, while high-frequency indicators continued to point to solid momentum. Headline consumer inflation edged higher in June due to food and fuel prices, although core inflation remained unchanged, while wholesale inflation also ticked up. The report highlighted that elevated oil prices and an uneven monsoon, which has delayed the sowing of key crops, could weigh on the outlook. Even so, it kept its forecast for the economy to grow 6.6% in the FY ending March 2027 and projected average inflation at 5.1%. Governor Sanjay Malhotra said inflation pressures are "largely supply-side" and added that it is "premature to discuss monetary tightening."
2026-07-23
India Holds Rates, Revises Down FY26/27 GDP Forecasts
The Reserve Bank of India (RBI) kept its key repo rate unchanged at 5.25% for the third consecutive meeting in June and maintained a neutral stance amid a weakening rupee. The decision was in line with market expectations, as the conflict in the Middle East threatened GDP growth and fueled inflationary pressures. On the economic outlook, the RBI lowered its GDP growth forecast for FY2026/27 to 6.6% from its earlier estimate of 6.9%. GDP is projected to grow by 6.6% in the first quarter of the fiscal year, followed by 6.3% in the second quarter and 6.5% and 6.8% in Q3 and Q4, respectively. Meanwhile, inflation is projected to average 5.1%, up from the earlier estimate of 4.6%, mainly driven by higher LPG, base metal, plastic, and rubber prices. Inflation is forecast at 4.2% in Q1, 5.1% in Q2, and 5.9% in both Q3 and Q4. Core inflation is projected at 4.7%. The central bank also kept the SDF rate at 5.0% and the MSF rate at 5.50%.
2026-06-05