Monetary Policy Review — RBI’s 25 bps Cut Signals Dovish Stance, Says Dolat Capital

Alongside the rate cut, the RBI announced Rs 1 lakh crore in open market operation purchases and $5 billion rupee-dollar swap operations to maintain liquidity and support currency stability..NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Dolat Capital Report.In its December 2025 meeting, the Reserve Bank of India (RBI) delivered a surprise rate cut, reducing the repo rate by 25 basis points to 5.25%, marking one of the most dovish stances in recent years. The decision was unanimous, aimed at reinforcing growth levers amid softening exports, moderating industrial output, and slowing nominal GDP. Inflation, which hit a historic low in October due to falling food prices and easing core inflation, provided the MPC room to act decisively.Alongside the rate cut, the RBI announced Rs 1 lakh crore in open market operation purchases and $5 billion rupee-dollar swap operations to maintain liquidity and support currency stability. Dolat Capital noted that while odds of a cut had diminished ahead of the meeting, the RBI’s language leaves scope for another reduction if conditions warrant. Growth projections for FY26 were revised upward to 7.3%, while inflation estimates were lowered to 2.0%, signaling a supportive policy environment for the coming quarters..Click on the attachment to read the full report:.RBI Monetary Policy Key Highlights: Repo Rate Cut, Rupee Measures, Inflation Outlook And More .DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Monetary Policy Review — RBI’s 25 bps Cut Signals Dovish Stance, Says Dolat Capital

As inflation remains unusually low, led by a sharp correction in food prices, the MPC opted for a rate cut to reinforce key growth levers heading into H2 FY26.

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