India Interest Rate

Last Release

Apr 09, 2025

Actual

Units In

6.25

Frequency

Daily

Next Release

N/A

Time to Release

N/A

Highest	Lowest	Average	Date Range	Source
14.5 Aug 2000	4 May 2020	6.38 %	2000-2025	Reserve Bank of India

In India, interest rate decisions are taken by the Reserve Bank of India's Central Board of Directors. The official interest rate is the benchmark repurchase rate. In 2014, the primary objective of the RBI monetary policy became price stability, giving less importance to government's borrowing, the stability of the rupee exchange rate and the need to protect exports. In February 2015, the government and the central bank agreed to set a consumer inflation target of 4 percent, with a band of plus or minus 2 percentage points, from the financial year ending in March 2017.

Latest Updates

The Reserve Bank of India (RBI) slashed its key repo rate by 25bps to 6% at its April meeting, marking back-to-back cuts of equal amount and aligning with market expectations. The latest rate adjustment brought borrowing costs to their lowest level since November 2022, driven by easing inflation, slowing economic output, and growing global trade tensions. Regarding economic outlook, the RBI slightly eased its FY2025/26 GDP growth forecast to 6.5% from 6.7%. Quarterly growth projections stand at 6.5% for Q1, 6.7% for Q2, 6.6% for Q3, and 6.3% for Q4. Inflation estimates were revised down to 4% from 4.2%, remaining within the RBI’s 2–6% target range. On a quarterly basis, inflation is projected at 3.6% in Q1, 3.9% in Q2, 3.8% in Q3, and 4.4% in Q4. The RBI also reduced the standing deposit facility (SDF) rate by 25 bps to 5.75% and the marginal standing facility (MSF) and bank rates to 6.25%. Meanwhile, the cash reserve ratio (CRR) was held steady at 4% following a 50bps cut in December.