The Reserve Bank of India (RBI) maintained its key repo rate at 5.25% during its February 2026 meeting, the first monetary policy decision of the year, after cutting it by 25 bps at the December meeting, in line with forecasts, amid confidence in a softer inflation outlook and improving growth prospects. India’s annual inflation accelerated to 1.33% in December 2025 but remained below the RBI’s tolerance band of 2%–6%, while GDP grew 8.2% in the September quarter. The decision comes after the Union Budget boosted government spending and US–India trade deals raised expectations of stronger economic growth. On the economic outlook, the RBI raised its GDP growth forecast for FY2025/26 to 7.4%, up from its earlier estimate of 7.3%. GDP growth for H1 of FY27 was also revised upward, with growth projected at 6.9% in Q1 and 7.0% in Q2. Meanwhile, inflation for FY2025/26 is projected at 2.1%. The RBI also kept 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 6.34 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 February 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 5.50 percent in 2027, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2025-10-01 04:30 AM
RBI Interest Rate Decision
5.5% 5.5% 5.5% 5.5%
2025-12-05 04:30 AM
RBI Interest Rate Decision
5.25% 5.5% 5.25% 5.25%
2026-02-06 04:30 AM
RBI Interest Rate Decision
5.25% 5.25% 5.25% 5.25%


Related Last Previous Unit Reference
Cash Reserve Ratio 3.00 3.00 percent Dec 2025
Central Bank Balance Sheet 43947.59 40873.89 INR Billion Dec 2025
Foreign Exchange Reserves 717060.00 723770.00 USD Million Feb 2026
Interbank Rate 6.42 6.40 percent Feb 2026
RBI Interest Rate 5.25 5.25 percent Feb 2026
Bank Loan Growth YoY 14.60 13.10 percent Jan 2026
Money Supply M1 70481.59 70815.29 INR Billion Nov 2025
Money Supply M2 72722.44 72938.60 INR Billion Nov 2025
M3 Money Supply YoY 295029.10 298009.91 INR Billion Jan 2026
Reverse Repo Rate 3.35 3.35 percent Jan 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 FY25/26 GDP Forecasts
The Reserve Bank of India (RBI) maintained its key repo rate at 5.25% during its February 2026 meeting, the first monetary policy decision of the year, after cutting it by 25 bps at the December meeting, in line with forecasts, amid confidence in a softer inflation outlook and improving growth prospects. India’s annual inflation accelerated to 1.33% in December 2025 but remained below the RBI’s tolerance band of 2%–6%, while GDP grew 8.2% in the September quarter. The decision comes after the Union Budget boosted government spending and US–India trade deals raised expectations of stronger economic growth. On the economic outlook, the RBI raised its GDP growth forecast for FY2025/26 to 7.4%, up from its earlier estimate of 7.3%. GDP growth for H1 of FY27 was also revised upward, with growth projected at 6.9% in Q1 and 7.0% in Q2. Meanwhile, inflation for FY2025/26 is projected at 2.1%. The RBI also kept the SDF rate at 5.0% and the MSF rate at 5.50%.
2026-02-06
India Cuts Rates, Raises GDP Forecast
The Reserve Bank of India (RBI) lowered its key repo rate by 25 bps to 5.25% during its December 2025 meeting, in line with forecasts amid confidence in a softer inflation outlook. The RBI has now cut rates by a total of 125 bps since the beginning of the year, bringing the repo rate to its lowest level since July 2022. The central bank also announced open market operations worth INR 1 trillion (USD 11.14 billion) to buy bonds this month, along with an additional USD 5 billion in forex swaps to inject liquidity into the banking system and speed up the transmission of lower rates. On the economic outlook, the RBI raised its GDP growth forecast for FY2025/26 to 7.3%, up from its earlier estimate of 6.8%. Meanwhile, headline inflation was revised down to 2.0% from 2.6%, keeping it well within the central bank’s 2%–6% target range. The RBI also cut the Standing Deposit Facility (SDF) and Marginal Standing Facility (MSF) rates by 25 bps, bringing them to 5.0% and 5.50%, respectively.
2025-12-05
India Holds Rates, Revises Up FY25/26 GDP Forecast
The Reserve Bank of India (RBI) kept its key repo rate unchanged at 5.50% during its October 2025 meeting, in line with market expectations. The decision comes amid easing inflation, as the central bank assesses the impact of earlier rate cuts and recent tax reductions, against a backdrop of global trade uncertainties. The repo rate remains at its lowest level since August 2022, following a cumulative 100 basis point reduction since the beginning of the year. On the economic outlook, the RBI raised its GDP growth forecast for FY2025/26 to 6.8%, up from a previous estimate of 6.5%, with Q2 at 7.0%, Q3 at 6.4%, and Q4 at 6.2%. Meanwhile, headline inflation projections were revised down to 2.6% from 3.1%, keeping it well within the central bank’s 2%–6% target range. Core inflation was reported at 4.2%. The RBI also held the Standing Deposit Facility (SDF) and Marginal Standing Facility (MSF) rates steady at 5.25% and 5.75%, respectively.
2025-10-01