RBI Monetary Policy LIVE: Guv Sanjay Malhotra-Led MPC Votes Unanimously Votes To Hold Repo Rate At 5.25%

RBI Monetary Policy Live Updates: The central bank's decision to keep rates on hold comes even as peers including Indonesia, Philippines and others have raised borrowing costs to counter higher energy prices and currency pressures brought on by the Iran war. Instead it announced a series of steps at the previous meeting to boost capital inflows and support the rupee.

RBI Monetary Policy Live Updates: The headline inflation is expected to rise further in the near term. Headline inflation likely to peak in Q3 and moderate after Q3. The economic growth continues to be supported by resilient domestic demand. India's position as the fastest growing major economy has been reinforced, according to the MPC members.

Growth, albeit resilient, is expected to be lower in FY27. Core inflation continues to remain moderate, expected to decline after peaking in Q3. Need for greater clarity to emerge, especially on inflation. Any policy action must consider recalibration of policy rate in light of growth dynamics, said Guv Malhotra in his MPC address.

RBI Monetary Policy Live Updates: The MPC decided to unanimously keep repo rate at 5.25%. MPC also decided to continue with the 'neutral stance' on the monetary policy, said Guv Malhotra. The Standing Deposit Facility (SDF) rate remains unchanged at 5%, while the Marginal Standing Facility (MSF) rate and the bank rate stands at 5.5%.

MPC noted that headline inflation has edged up above target as expected. The realised inflation for Q1 remains lower than expected. The higher inflation is mostly on account of fuel, food prices. There is little sign of generalisation of price pressures so far, said Guv Malhotra.

RBI Monetary Policy Live Updates: RBI Governor Sanjay Malhotra began the MPC address saying that the West Asia conflict continues to challenge the global economy. Trade uncertainty lingers as US imposed fresh tariffs. Global economic environment has become challenging. Some central banks have tightened policy, others have remained vigilant, he said.

RBI Monetary Policy Live Updates: India's retail inflation rate breached the RBI's target for the first time in 17 months, accelerating to 4.38% in June. Signs are emerging that price pressures may prove more persistent. READ MORE HERE

The country's largest consumer companies are preparing a second straight quarter of price increases on products ranging from toothpaste to tires and paint, adding to signs that higher input costs are being passed on to consumers.

The RBI targets inflation at the 4% midpoint of the tolerance band, and Malhotra has said policymakers would respond only if price pressures become more broad-based rather than driven by temporary supply shocks. 

"We think the best thing to do amid this volatility is nothing," Barclays Plc economist Aastha Gudwani wrote in a note. Policymakers face an environment that is "no less challenging" than in June, supporting the case for the MPC to remain on pause, she said.

RBI Monetary Policy Live Updates: The RBI's repo rate currently stands at 5.25%, after the central bank reduced it by 100 basis points in 2026 to support economic growth. The repo rate is the interest rate at which the RBI lends short-term funds to commercial banks, and any change in it influences borrowing costs, home loan EMIs, deposit rates and overall liquidity in the economy.

RBI Monetary Policy Live Updates: The RBI will stream the monetary policy announcement and Governor Sanjay Malhotra's post-policy address live on its official website and social media platforms. Viewers can also follow real-time updates, analysis and key takeaways on NDTV Profit's digital platforms and YouTube channel. READ MORE HERE

RBI Monetary Policy Live Updates: Key Indicators To Watch

• Repo rate decision
• Monetary policy stance
• Inflation forecast
• GDP growth outlook
• Governor Sanjay Malhotra's commentary on global risks and liquidity

RBI Monetary Policy Live Updates: The RBI's three-day Monetary Policy Committee meeting is scheduled from Aug. 3 to Aug. 5. Governor Sanjay Malhotra will announce the policy decision and address the media at around 10 a.m. IST on Aug. 5.

RBI Monetary Policy Live Updates: The central bank's six-member repo-rate panel MPC, headed by Governor Sanjay Malhotra, is expected to leave the repurchase rate unchanged at 5.25%, according to all but one of 30 economists surveyed by Bloomberg. Policymakers are also likely to retain a neutral stance as inflation remains well within the RBI's 2%-6% tolerance band. RBI Governor Malhotra will unveil the monetary policy verdict at 10:00 am. The MPC panel will also conduct a post-policy press conference at 12 noon.

Stay tuned to NDTV Profit for all back-to-back live updates of RBI Monetary Policy Review announcements on Wednesday, Aug. 5, 2026.

RBI Monetary Policy Live Updates: Hello and welcome to NDTV Profit's live coverage of Reserve Bank of India's monetary policy committee decision on Aug. 5, 2026! Stay tuned to our live blog as we bring you all major updates on RBI Governor Sanjay Malhotra-led MPC verdict on the benchmark repo rate, inflation-cum economic growth projections, and other related policy announcements. The RBI is expected to keep interest rates unchanged on Wednesday as policymakers assess whether higher energy costs from the renewed Middle East conflict spill over into broader inflation before raising borrowing costs.