Mumbai, Dec. 5 -- The Reserve Bank of India has reduced the repo rate by 25 basis points, bringing it down from 5.50% to 5.25%. The decision was taken during the Monetary Policy Committee (MPC) meeting held on December 3, 4 and 5.

This is the fourth rate cut in the 2025 calendar year, taking the cumulative reduction to 125 basis points. The committee, chaired by RBI Governor Sanjay Malhotra, voted unanimously in favour of the cut after reviewing inflation trends, liquidity conditions and economic growth prospects.

Following the revision, the Standing Deposit Facility (SDF) rate is now 5.0%, while the Marginal Standing Facility (MSF) rate and the Bank Rate stand at 5.50%. The RBI has retained its neutral policy stance. Governor Sanjay Malh...