RBI cuts the policy repo rate to 5.25% while retaining a neutral stance
05 Dec, 2025
RBI cuts the policy repo rate to 5.25% while retaining a neutral stance
Unit 5 — Mathematical Reasoning and Aptitude
What Happened?
On 5 December 2025, the RBI announced the MPC’s December resolution. The repo rate was cut by 25 basis points to 5.25%. The standing deposit facility rate moved to 5.0%, while the marginal standing facility rate and bank rate moved to 5.5%. The MPC continued with a neutral policy stance while revising its growth assessment upward.
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