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BreakingCentral Banks

RBI Expected to Hold Rates at 5.25% as Analysts Forecast Future Tightening

First Detected: Oct 7, 2026, 1:50 AM
Last Update: about 2 hours ago
1 update

Event Summary

The Reserve Bank of India is expected to maintain the repo rate at 5.25% during today's meeting. However, MUFG forecasts 25 basis point hikes in December and February due to rising inflation risks. These pressures are compounded by high oil prices and strong US yields, which are increasing pressure on the Indian rupee.

Timeline

Latest developmentabout 11 hours ago

RBI Hikes Key Interest Rate to 5.5% in First Increase Since 2023

The Reserve Bank of India is anticipated to maintain the repo rate at 5.25% today, though MUFG forecasts subsequent hikes starting in December due to rising inflationary pressures.

Read the full story

Key facts

  • The Reserve Bank of India is expected to maintain the repo rate at 5.25% during today's meeting.
  • MUFG forecasts 25 basis point hikes in December and February due to rising inflation risks.
  • High oil prices and strong US yields are increasing pressure on the Indian rupee.