RBI MPC 2025: Key Decisions, Expectations And Where To Watch

The Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI) is conducting its meeting from December 3-5, 2025, to take an understanding of the current economic situation of the country and take a call on the future course of repo rates. 

The six-member panel, headed by RBI Governor Sanjay Malhotra will consider an array of variables, such as repo rate, liquidity situation, inflation expectations, and growth prospects before taking a final decision. The MPC meet is also being held against the backdrop of six-quarter high economic growth and record low monthly inflation.

Economic Context And Previous Decisions

The committee, in its previous policy meeting in October, had unanimously decided to keep the policy repo rate unchanged at 5.50 per cent. 

Headline inflation had cooled off significantly, which provided the panel with confidence to retain the current rate stance, Malhotra had said. 

In August, RBI had also revised the inflation target to 3.10 per cent from 3.70 per cent projected in June. In its October review, the central bank lowered the target further to 2.60 per cent for the current financial year.

Expectations Ahead Of The Announcement

With headline inflation at a multi-decade low of 0.25 per cent and gross domestic product (GDP) growth estimated at 6.80 per cent, analysts expect that there is room for RBI to consider a further reduction in the repo rate.”

Food inflation continues to be in deflationary territory, while core and headline inflation are soft. Global risks and economic stability may be the influencing factors for the final decision. 

RBI has reduced the policy rate by a cumulative 100 basis points (bps) since February this year. During this period, rates on outstanding loans declined 54 bps, while outstanding deposits fell 20 bps. Rates on fresh loans and deposits declined by 100 bps and 89 bps, respectively.

Date and Time of the Announcement

The outcome of the MPC meeting will be announced by RBI Governor Sanjay Malhotra on December 5, 2024 at 10:00 AM.

Where To Watch The MPC Announcement 

The policy statement will go live on Reserve Bank of India's official YouTube channel.