New Delhi, June 12 -- On 6th June 2025, the RBI cut the repo rate by 50 basis points and the Cash Reserve Ratio (CRR) by 100 basis points. It was RBI's third repo rate cut in successive Monetary Policy Committee (MPC) meetings since February 2025. The interest rate cuts are expected to bring down interest rates on personal loans and other loans.

In this article, we will understand what the repo rate is, the repo rate cuts by the RBI, and how it will impact personal loan interest rates.

Before understanding the impact of RBI repo rate cuts on loan interest rates, let us first understand what is the repo rate. The repo rate or the Repurchase Rate is the rate at which banks borrow money from the Reserve Bank of India (RBI). The money is bo...