Mumbai, Dec. 5 -- The Reserve Bank of India on Friday announced a 25 basis points reduction in the policy repo rate, bringing it down to 5.25 per cent.

The decision was communicated by RBI Governor Sanjay Malhotra after the conclusion of the three-day Monetary Policy Committee (MPC) meeting held from December 3 to 5.

The governor stated that the MPC undertook a detailed assessment of evolving macroeconomic conditions and future outlook before arriving at the unanimous decision to implement the rate cut with immediate effect.

Announcing the decision, the Governor said, "The MPC met on the 3rd, 4th, and 5th of December to deliberate and decide on the policy repo rate. After a detailed assessment of the evolving macroeconomic conditions a...