RBI keeps repo rate unchanged at 5.25%; retains neutral stance

Mangalore Today News Network

New Delhi, Jun 5, 2026: The Reserve Bank of India on Friday kept the repo rate unchanged at 5.25 per cent, while maintaining neutral stance. 

"MPC voted unanimously to keep the policy repo rate unchanged at 5.25%," RBI Governor Sanjay Malhotra said in a statement.

The rate has now been kept unchanged for the third straight time. in the previous two meetings in February and April, too, the RBI had kept the repo rate at 5.25 per cent.

The governor said that the global economic outlook remains clouded by the continuing geopolitical impasse in West Asia, adding that India’s economy continued to be resilient.

He said that the Indian economy entered the phase of turbulence with much better economic fundamentals and that he remains confident of navigating this phase with minimum pain.

"Domestic economic activity remained steady even since the war outbreak. Overall, the economic situation has broadly exhibited resilience and withstood the conflict spillovers, although the impact of cost pressures is becoming visible," Malhotra said.

He added that the MPC felt it was prudent to wait for more clarity to emerge before taking any policy action, adding that the committee will remain data dependent, and continue to closely monitor developments.