One of the defining characteristics of mature consumer markets is not simply the abundance of products, but the quality of consumer decision-making
Business

One of the defining characteristics of mature consumer markets is not simply the abundance of products, but the quality of consumer decision-making. Across sectors, rising financial awareness, easier access to information and digital discovery are changing what people choose to buy and how they

Imagine reaching retirement with a bond portfolio that works like a staircase. One bond matures this year, another next year, and another the year after
Business

Imagine reaching retirement with a bond portfolio that works like a staircase. One bond matures this year, another next year, and another the year after, giving you access to money at different points instead of having to unlock the entire investment at once

<strong>Augmont Enterprises IPO Day 2:</strong> The initial public offering (IPO) of integrated gold and silver platform Augmont Enterprises Ltd is
Business

Augmont Enterprises IPO Day 2: The initial public offering (IPO) of integrated gold and silver platform Augmont Enterprises Ltd is witnessing its second day of bidding today, August 24. So far, the public issue has been subscribed 2.88 times. The Rs 825-crore IPO

<h4>Gold prices remain high in India; check 22K, 24K rates in Mumbai, Delhi, Bengaluru</h4> <h4>International gold prices also climbed to a
Business

Gold prices remain high in India; check 22K, 24K rates in Mumbai, Delhi, Bengaluru International gold prices also climbed to a more than three-month high on Monday. Published on: Aug 24, 2026, 13:46:24 IST By HT News Desk Prefer HTon Google Share via Copy link Gold prices remained high in India on

Nearly three-fourth of large-cap active funds underperformed a blended (LargeMidCap) benchmark over a 10-year period, according to the 2025 report by SPIVA
Business

Nearly three-fourth of large-cap active funds underperformed a blended (LargeMidCap) benchmark over a 10-year period, according to the 2025 report by SPIVA (S&P Indices Versus Active). In this article, we discuss two reasons that could, perhaps

<strong>Indian Stock Market Today, August 24:</strong> The domestic equity markets opened higher on Monday, but gains remained measured as
Business

Indian Stock Market Today, August 24: The domestic equity markets opened higher on Monday, but gains remained measured as investors continued to track elevated crude oil prices and geopolitical tensions in West Asia. At 9:16 am, the BSE Sensex was up 205 points, or 0.26%, at 77,746.06

Businesses from India and the U.S. have expressed interest in investing in Bangladesh and made proposals to improve the country's investment climate
Business

Businesses from India and the U.S. have expressed interest in investing in Bangladesh and made proposals to improve the country's investment climate, Commerce Minister Khandakar Abdul Muktadir has said. Mr. Muktadir’s remarks on Saturday (August 22

Minimalistic retractable door handles became a signature feature of electric vehicles (EVs), but the controversial designs are now at the centre of China's
Business

Minimalistic retractable door handles became a signature feature of electric vehicles (EVs), but the controversial designs are now at the centre of China's biggest car recall, affecting more than 4 million vehicles. The recall, which includes 2.98 million Chinese-made Teslas

RBI holds repo rate at 5

Posted By: Hemant Kumar Posted On: Apr 08, 2026Share Article
RBI holds repo rate at 5
Reserve Bank of India (RBI) governor Sanjay Malhotra. (AFP)

RBI holds repo rate at 5.25% in ‘cautious balancing act’ amid Iran war

RBI holds repo rate at 5.25% in ‘cautious balancing act’ amid Iran war

Amid the Iran war, RBI sees India's inflation rate at 4.6% in FY27, but expects India to grow faster at a real GDP growth rate of 7.6% versus 7.4% earlier.

Updated on: Apr 08, 2026 10:37 AM IST By HT Business Desk Share via Copy link The Reserve Bank of India maintained status quo on repo rate in first monetary policy decision since the Iran war broke out, even as the announcement of a two-week ceasefire cooled crude oil prices and boosted rupee. Reserve Bank of India (RBI) governor Sanjay Malhotra. (AFP) The RBI's six-member Monetary Policy Committee voted unanimously to keep the benchmark repo rate at 5.25%, matching all economist estimates in a Bloomberg survey. The policy stance was retained at neutral. “The high-frequency indicators indicate sustained momentum and economic activity,” the RBI governor said. “The headline inflation remains contained and below central bank's target of 4%.” Amid the Iran war, RBI now sees India's inflation rate at 4.6% in FY27 with core inflation is likely to come in at 4.4%. Here's a look at the quarter-wise inflation projections by the rate-setting panel: Q1 FY27: 4% Q2 FY27: 4.4% Q3 FY27: 5.2% Q4 FY27: 4.7% However, despite the Iran war, India is expected to grow faster at a real GDP growth rate of 7.6% versus 7.4% earlier, Malhotra said. “The policy outlook (has) shifted from a ‘benign inflation–strong growth’ scenario to a more ‘cautious balancing act’,” said Radhika Rao, senior economist at DBS Bank Singapore. “The neutral stance also provides the ability to be nimble with policy shifts in case the war is more prolonged than assumed.” The remarks on inflation indicate concern that a prolonged supply shock could evolve into a demand-driven one. This suggests that second-round effects would need to materialise before repo rate hikes become a realistic consideration.

RBI Monetary Policy amid Iran War

The status quo reflects a wait-and-see approach as Iran-US tensions weighs on India’s energy supplies and growth outlook. The rupee’s slide since the start of the Iran war has emerged as the RBI’s primary concern and drawn much of its focus in recent days. India, which relies on West Asia for about half of its crude and most of its cooking gas, has been hit hard by the effective closure of the Strait of Hormuz. The rupee has tumbled around 7% over the past year, making it one of Asia’s worst-performing currencies. While the central bank has so far stepped in with aggressive measures to curb speculative bets against the currency, economists said a prolonged surge in energy prices could eventually force it to raise rates.

India's Forex Reserves amid Rupee slide

India's forex reserves rose to $697.1 billion as of 3 April versus $688.06 billion as of 27 March, down from a record high of $728.49 billion in late February, primarily due to RBI intervention to stabilise the rupee. The central bank intervenes in the forex market to curb excess volatility in the rupee. Changes in foreign currency assets are caused by the RBI's intervention as well as the appreciation or depreciation of foreign assets held in the reserves. ABOUT THE AUTHOR HT Business Desk The HT Business Desk provides comprehensive coverage of the Indian and global financial markets. Based in Mumbai and New Delhi, the team tracks everything from Sensex and Nifty movements to the latest from India Inc., trade deals, and macroeconomic policy. We aim to empower readers with timely, fact-checked news that clarifies the complexities of the business world.Read More Reserve Bank Of India Stay updated with the latest Business News on Petrol Price, Gold Rate, Silver Rates, Diesel Prices along with Income Tax Calculator Home / Business / RBI Holds Repo Rate At 5.25% In ‘cautious Balancing Act’ Amid Iran War See Less

The Reserve Bank of India maintained status quo on repo rate in first monetary policy decision since the Iran war broke out, even as the announcement of a two-week ceasefire cooled crude oil prices and boosted rupee.

The RBI's six-member Monetary Policy Committee voted unanimously to keep the benchmark repo rate at 5.25%, matching all economist estimates in a Bloomberg survey. The policy stance was retained at neutral.

“The high-frequency indicators indicate sustained momentum and economic activity,” the RBI governor said. “The headline inflation remains contained and below central bank's target of 4%.”

Amid the Iran war, RBI now sees India's inflation rate at 4.6% in FY27 with core inflation is likely to come in at 4.4%. Here's a look at the quarter-wise inflation projections by the rate-setting panel:

“The policy outlook (has) shifted from a ‘benign inflation–strong growth’ scenario to a more ‘cautious balancing act’,” said Radhika Rao, senior economist at DBS Bank Singapore. “The neutral stance also provides the ability to be nimble with policy shifts in case the war is more prolonged than assumed.”

The remarks on inflation indicate concern that a prolonged supply shock could evolve into a demand-driven one. This suggests that second-round effects would need to materialise before repo rate hikes become a realistic consideration.

India, which relies on West Asia for about half of its crude and most of its cooking gas, has been hit hard by the effective closure of the Strait of Hormuz. The rupee has tumbled around 7% over the past year, making it one of Asia’s worst-performing currencies.

While the central bank has so far stepped in with aggressive measures to curb speculative bets against the currency, economists said a prolonged surge in energy prices could eventually force it to raise rates.

The central bank intervenes in the forex market to curb excess volatility in the rupee. Changes in foreign currency assets are caused by the RBI's intervention as well as the appreciation or depreciation of foreign assets held in the reserves.

Source: HindustanTimes
Related Posts: RBI Monetary Policy,RBI Repo Rate,Iran war Ceasefire,Sanjay Malhotra,Reserve Bank of India,india gdp growth rate

Comment on Post

Leave a comment

If you have a News Orbit 360 user account, your address will be used to display your profile picture.


<strong>Tempsens Instruments India IPO Day 3:</strong> The initial public offering (IPO) of temperature sensing and heating solutions provider
Business
Tempsens Instruments IPO Last Day

Tempsens Instruments India IPO Day 3: The initial public offering (IPO) of temperature sensing and heating solutions provider Tempsens Instruments Ltd is witnessing its final day of bidding today, August 24. So far, the public issue has been subscribed by a strong 31.34 times. The Rs 650-crore IPO

11 hours ago

<h4>S&P 500 just hit a level seen only once before in 155 years — could a market crash be next?</h4> <h4>The S&P 500 CAPE ratio hit 40 for
Business
S&P 500 hits rare level seen only once before

S&P 500 just hit a level seen only once before in 155 years — could a market crash be next? The S&P 500 CAPE ratio hit 40 for only the second time in 155 years, raising concerns about valuations, future returns and a possible market correction. Updated on: Aug 23, 2026

14 hours ago

<h4>Anthropic $2 trillion IPO: Why investors think it could be worth more than SpaceX</h4> <h4>Anthropic could reach a $2 trillion IPO
Business
Anthropic $2T IPO

Anthropic $2 trillion IPO: Why investors think it could be worth more than SpaceX Anthropic could reach a $2 trillion IPO valuation as revenue surges, raising questions about whether the AI company can be worth more than SpaceX. Published on: Aug 23, 2026

14 hours ago

US President Donald Trump has said Canada wants
Business
Trump says Canada wants

US President Donald Trump has said Canada wants "the benefits of being a State, without being one" after trade talks between the two countries collapsed late on Friday. In his first comments since negotiations broke down, triggering new 50% US tariffs on a range of Canadian goods

1 days ago

India’s payments sector has raised $5.8 billion across 371 equity funding rounds since January 2021, while producing eight initial public offerings (IPOs)
Business
Indian payments firms raised $5

India’s payments sector has raised $5.8 billion across 371 equity funding rounds since January 2021, while producing eight initial public offerings (IPOs) and triggering 25 acquisitions, as the industry increasingly consolidates around a handful of well-funded players

1 days ago

<h4>Can Reddit survive in the AI era?</h4> <h4>It wants more cash for its data—and more of people’s time</h4> Published on: Aug 22
Business
Can Reddit survive in the AI era

Can Reddit survive in the AI era? It wants more cash for its data—and more of people’s time Published on: Aug 22, 2026, 16:40:48 IST The Economist Prefer HTon Google Share via Copy link Earlier this summer “Backrooms”, a horror flick, became one of the most successful independent films ever

1 days ago

What with a 250th birthday, Taylor Swift's wedding and the football World Cup, Americans could be forgiven for taking their eye off the ball this summer
Business
Why the US economy is ringing alarm bells

What with a 250th birthday, Taylor Swift's wedding and the football World Cup, Americans could be forgiven for taking their eye off the ball this summer. But signs of economic trouble have been building. This week they hit the headlines when US national debt passed the $40tn (£29.4tn) mark

1 days ago

Insurance regulator IRDAI has directed Edelweiss Life Insurance and Pramerica Life Insurance, in separate orders on August 20, not to open new place of
Business
IRDAI bars life insurers Pramerica

Insurance regulator IRDAI has directed Edelweiss Life Insurance and Pramerica Life Insurance, in separate orders on August 20, not to open new place of business for six months for non-compliance with Expenses of Management (EoM) limits in 2024-25

2 days ago

India remains a very attractive destination for global investments and its economic fundamentals form the basis for strong investor confidence, Jyoti Jeetun
Business
India remains very attractive destination for global investments

India remains a very attractive destination for global investments and its economic fundamentals form the basis for strong investor confidence, Jyoti Jeetun, the Minister of Financial Services and Economic Planning of Mauritius told The Hindu in an interview

2 days ago

A fresh wave of US tariffs on a wide array of Canadian goods has come into effect as of midnight on Saturday after a last minute break down in trade talks
Business
Canada says it will match US tariffs

A fresh wave of US tariffs on a wide array of Canadian goods has come into effect as of midnight on Saturday after a last minute break down in trade talks. Announcing the suspension of negotiations shortly before the Friday night deadline, Canadian Prime Minister Mark Carney said he would impose

2 days ago

<strong>TCS Employee Surveillance Row:</strong> Tata Consultancy Services (TCS), India’s largest IT services company, on Friday denied reports
Business
TCS Denies Employee Surveillance Reports

TCS Employee Surveillance Row: Tata Consultancy Services (TCS), India’s largest IT services company, on Friday denied reports that it is using monitoring tools to track individual employee activity on company-issued laptops. The IT giant said the purpose of the tools is to monitor the overall

2 days ago

<h4>Walmart stock falls 9% as retailer finally brings Apple Pay, Google Pay</h4> <h4>Walmart stock fell 9% after earnings despite beating
Business
Walmart stock falls 9% as retailer finally brings Apple Pay

Walmart stock falls 9% as retailer finally brings Apple Pay, Google Pay Walmart stock fell 9% after earnings despite beating estimates and raising guidance. The retailer will add Apple Pay and Google Pay Tap to Pay from August 24. Updated on: Aug 21, 2026

2 days ago

TikTok has agreed to pay $400m (£293m) to the US to end a lawsuit alleging its platform violated children‘s privacy, marking one of the largest ever
Business
TikTok to pay $400m to US in one of largest child privacy settlements

TikTok has agreed to pay $400m (£293m) to the US to end a lawsuit alleging its platform violated children‘s privacy, marking one of the largest ever settlements over the issue. The deal stems from a 2024 suit by the Department of Justice under former President Joe Biden alleging TikTok and its

2 days ago

<h4>What’s next for Nvidia after the AI chip boom? Wall Street wants more—here’s what investors need to know</h4> <h4>Nvidia stock
Business
What’s next for Nvidia after the AI chip boom

What’s next for Nvidia after the AI chip boom? Wall Street wants more—here’s what investors need to know Nvidia stock faces high expectations ahead of August 26 earnings as Wall Street watches AI growth, valuation, open-source models and Nvidia's next big story. Updated on: Aug 22, 2026

2 days ago

<h4>Costco dividend rises: Why a $10,000 investment pays only $61 yearly</h4> <h4>A $10,000 Costco investment earns only about $61 a year in
Business
Costco dividend rises

Costco dividend rises: Why a $10,000 investment pays only $61 yearly A $10,000 Costco investment earns only about $61 a year in regular dividends. Here’s why investors still buy COST for growth and special dividends. Updated on: Aug 20, 2026

3 days ago

Leaving education, getting a job, buying a home and perhaps starting a family: the path previous generations followed may seem a distant dream to many now
Business
UK millennials are struggling to buy a home - but is it actually getting easier

Leaving education, getting a job, buying a home and perhaps starting a family: the path previous generations followed may seem a distant dream to many now. But is it getting a bit easier - at least when it comes to getting on the housing ladder? Today's prospective first-time buyers may well feel

3 days ago

Nearly six months after US President Donald Trump vowed a swift victory over Iran, the conflict appears to be at a standstill, with prospects of a military
Business
How much could Trump's 'economic D-Day' hurt Iran

Nearly six months after US President Donald Trump vowed a swift victory over Iran, the conflict appears to be at a standstill, with prospects of a military victory or negotiated settlement growing dimmer. To break the deadlock, Trump has vowed an "economic D-Day" under which any country that does

3 days ago

<h4>Why US stocks fell today: Dow, S&P 500, Nasdaq drop as oil and bond yields rise</h4> <h4>US stocks fell as oil prices and Treasury yields
Business
Why US stocks fell today

Why US stocks fell today: Dow, S&P 500, Nasdaq drop as oil and bond yields rise US stocks fell as oil prices and Treasury yields rose. Dow, S&P 500 and Nasdaq dropped as Trump's Iran threat, Walmart and the bond market hit Wall Street. Published on: Aug 20, 2026

3 days ago

<h4>Crypto stocks surge as Trump backs Clarity Act: Coinbase, Circle, miners rise</h4> <h4>Crypto stocks surge as Trump backs the Clarity Act
Business
Crypto stocks surge as Trump backs Clarity Act

Crypto stocks surge as Trump backs Clarity Act: Coinbase, Circle, miners rise Crypto stocks surge as Trump backs the Clarity Act. Coinbase, Circle, Bitcoin miners and other crypto shares rise as investors expect clearer US crypto rules. Updated on: Aug 20, 2026

4 days ago

<strong>Stock Market Today, August 20:</strong> The domestic equity market snapped its seven-day losing streak and ended sharply higher on Thursday
Business
Market Snaps 7-Day Losing Streak

Stock Market Today, August 20: The domestic equity market snapped its seven-day losing streak and ended sharply higher on Thursday, August 20, as broad-based buying lifted sentiment across sectors after the US Treasury stepped in to contain the surge in global bond yields

4 days ago

The Reserve Bank of India RBI has accorded its approval to Life Insurance Corporation of India (LIC) for acquiring an aggregate holding of up to 9
Business
RBI allows LIC to increase holding in HDFC Bank from 4

The Reserve Bank of India RBI has accorded its approval to Life Insurance Corporation of India (LIC) for acquiring an aggregate holding of up to 9.99% of the paid-up share capital or voting rights in HDFC Bank Ltd., the bank said in a filing with the exchanges on Wednesday (August 19, 2026) night

4 days ago

Customers have shared their outrage after an app used by many businesses to track timesheets and produce invoices hiked bills by as much as 1500%
Business
UK business hit by

Customers have shared their outrage after an app used by many businesses to track timesheets and produce invoices hiked bills by as much as 1500%, with one person calling it "daylight robbery". Richard Haldenby, head of UK consultancy firm Salentis

4 days ago

<strong>Bitcoin Price Today, August 20:</strong> Bitcoin surged to the $70,000 mark on Thursday, recording one of its sharpest gains in recent
Business
Bitcoin Hits $70

Bitcoin Price Today, August 20: Bitcoin surged to the $70,000 mark on Thursday, recording one of its sharpest gains in recent months as a combination of lower US Treasury yields, a weaker dollar, strong institutional demand and large-scale short liquidations pushed the broader cryptocurrency market

4 days ago

US President Donald Trump has said he will launch tougher economic measures against Iran, as well as any country and that helps or does business with the
Business
Trump vows tougher economic measures on Iran and supporting countries

US President Donald Trump has said he will launch tougher economic measures against Iran, as well as any country and that helps or does business with the country. He wrote in all capital letters on Truth Social that he was launching "the most crushing economic operation ever taken against any

4 days ago

The domestic equity markets were trading firmly higher on Thursday, August 20, with buying visible across large-cap, mid-cap and small-cap stocks
Business
Sensex Gains 628 Points

The domestic equity markets were trading firmly higher on Thursday, August 20, with buying visible across large-cap, mid-cap and small-cap stocks. The gains strengthened through the session, with the benchmark Sensex rising more than 600 points by 1:20 pm

4 days ago

U.S. President Donald Trump will host ​cryptocurrency executives at the White House on Wednesday as U.S. ‌financial regulators this week prepare to advance
Business
Trump to host crypto executives as SEC considers regulations

U.S. President Donald Trump will host ​cryptocurrency executives at the White House on Wednesday as U.S. ‌financial regulators this week prepare to advance their framework ​for certain digital assets. Trump, who has ⁠earned more than $1.4 billion from his family’s crypto ventures

4 days ago

<h4>Telecom inflation, chargers and the number 45, and Small Talk ASL app</h4> <h4>Beyond the regular noise, a closer look at personal
Business
Telecom inflation

Telecom inflation, chargers and the number 45, and Small Talk ASL app Beyond the regular noise, a closer look at personal technology. 20 August 2026. Published on: Aug 20, 2026, 08:00:58 IST By Vishal Mathur Prefer HTon Google Share via Copy link Opening thoughts. Josh Staub

4 days ago