Mumbai/IBNS, Dec. 5 -- The Reserve Bank of India (RBI) on Friday slashed the repo rate by 25 basis points to 5.25%, making loans cheaper for borrowers, media reports said.

This is the second rate cut this year. In June, the repo rate was lowered from 6% to 5.5%.

The latest cut comes at a time when the Indian rupee has fallen to an unprecedented low, prompting the central bank to ease borrowing costs and support economic activity. The reduction is expected to bring relief to retail borrowers through lower EMIs.

The announcement follows strong economic data, with India recording a six-quarter high GDP growth of 8.2% in the July-September quarter, according to official figures released last month.

Real GDP (at constant prices) in Q2 FY 2...