RBI pauses rate cuts, retains interest rate at 5.25 pc
New Delhi (PTI): After a 25 basis point rate cut in December, the RBI on Friday decided to pause on the policy rate front amid geopolitical uncertainties.
This is the first monetary policy review after Finance Minister Nirmala Sitharaman announced the Budget for financial year 2026-27.
Announcing the sixth and final bi-monthly monetary policy for the current fiscal, RBI Governor Sanjay Malhotra said the Monetary Policy Committee (MPC) has decided to retain short-term lending rate or repo rate at 5.25 per cent with a neutral stance.
The rate cut pause comes on the back of the CPI-based headline retail inflation ruling below the 2 per cent lower band mandated by the government for the last four months.
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The central bank has been tasked by the government to ensure that consumer price index (CPI) based retail inflation remains at 4 per cent with a margin of 2 per cent on either side.
Since February 2025, the RBI has reduced the policy rate by 125 basis points. In its previous policy review in December, it had trimmed the repo rate by 25 basis points to 5.25 per cent.
Based on the recommendation of the MPC, the RBI reduced the repo rate by 25 bps each in February, 2025 and April, and 50 basis points in June amidst easing retail inflation. However, the central bank halted its rate cut in August.
In the last MPC meeting, the RBI again went for reduction in repo rate by 25 basis points to 5.25 per cent.
India's retail inflation dropped to a historic low of 0.25 per cent in October 2025, marking the lowest level since the CPI series was introduced. Besides, the Indian economy has clocked better-than-expected GDP growth of 8.2 per cent in the second quarter.
As per the government estimate, India's economy is estimated to grow at 7.4 per cent during the ongoing financial year.
However, the rupee declined to historic low and crossed 92 against a dollar last week making imports costlier, raising fears of rise in inflation.
Rupee has depreciated by about 6 per cent in calendar year 2025.
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3 held, hunt on for 4 accomplices after they kidnap, assault and urinate on man in Bhopal
Bhopal (PTI): Police have registered a case against seven persons and arrested three of them for allegedly kidnapping, assaulting and urinating on a 22-year-old man in Madhya Pradesh capital Bhopal, officials said on Thursday.
The incident occurred during the intervening night of April 26 and 27 in an area located under the Hanumanganj police station limits, an official said.
One of the accused urinated on the face of the victim and captured a video of the act, which was later circulated on social media to humiliate him, he said.
"A complaint in this connection was lodged by Jaswant Markam (22), a resident of Kamla Nagar, based on which a case was registered against seven persons under sections of Bharatiya Nyaya Sanhita (BNS) and police have arrested three of them, including one Prem Thapa," Bhopal Police Commissioner Sanjay Kumar said.
Three police teams have been formed and the remaining suspects will be apprehended soon, he said.
During the intervening night of Sunday and Monday, Markam was at the local bus stand with a friend when around 4 am, the accused took him away on the pretext of discussing something with him. They asked him about his neighbour and friend Aniket. When he refused to provide any information, they started assaulting him, the police said.
The accused then took him to a forest in Karond area, where he was stripped and severely thrashed, they said.
When the man began to lose consciousness, one of the accused urinated on his face and made a video of the act, which was circulated on social media to humiliate him and spread terror, according to the police.
The accused called Markam's friend around 5 am to inform him about his condition. The victim was subsequently admitted to a hospital, the officials said, adding that the viral video was also being investigated.
Responding to a query, Hanumanganj police station in-charge Awdhesh Bhadoria said if the victim was found to be from the tribal community, then relevant sections will be invoked against the accused.
At present, the police are probing the incident and search is on to arrest the remaining accused, he added.
In 2023, a man had urinated on a tribal youth in Sidhi district of Madhya Pradesh. A video of the incident had gone viral on social media platforms and created a controversy.
