In his first Monetary Policy announcement on Friday, Reserve Bank of India (RBI) Governor Sanjay Malhotra stated that the Monetary Policy Committee (MPC) had unanimously decided to reduce the policy rate by 25 basis points (bps) from 6.

Governor Sanjay Malhotra has addressed concerns over the rupee's weakness. Announcing the RBI’s latest monetary policy committee (MPC) decisions, Malhotra emphasised that the rupee’s exchange rate is market-driven.

The Reserve Bank of India announced a 25 basis point cut in the repo rate, now at 6.25%, the first reduction in five years. The decision follows declining inflation rates and the need to support economic growth.