RBI MPC raises repo rate 25 bps to 5.5%
In short
The RBI’s MPC raised the repo rate by 25 basis points to 5.5% in its October 2026 decision. The move took the rate from 5.25% to 5.50%, and the stance changed to calibrated tightening.
This matters because borrowing costs can rise for households and companies. The reporting does not say whether more hikes will happen or how soon cuts might return.
What the reporting says
On the October 2026 MPC decision, RBI Governor Sanjay Malhotra said the central bank raised the repo rate by 25 basis points to 5.5%. BusinessLine and CNBC TV18 summaries said the hike moved the rate from 5.25% to 5.50% and that the MPC changed its stance to calibrated tightening. The immediate consequence is a more hawkish policy signal, while the full future path of rates is still open.
Why it matters
The RBI’s rate-setting panel raised the repo rate by 25 basis points to 5.5% and shifted its stance to calibrated tightening. That affects borrowers, banks and other companies sensitive to funding costs, and it suggests the central bank is responding to inflation and economic risks. The reporting says cuts are ruled out for now, but it does not give a timeline for any next move.