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So the standing deposit facility (SDF) rate has been adjusted to 6 per cent and the marginal standing facility (MSF) rate and the bank rate to 6.5 per cent, an RBI release said.
The committee held its 53rd meeting from February 5 to 7 under the chairmanship of RBI governor Sanjay Malhotra.
The target is to achieve the medium-term target for consumer price index (CPI) inflation of 4 per cent, while supporting growth.
The central bank said healthy rabi crop prospects and an expected recovery in industrial activity should support economic growth in fiscal 2025-26.
Among the key drivers on the demand side, household consumption is expected to remain robust aided by the tax relief in the latest union budget.
Fixed investment is expected to recover, supported by higher capacity utilisation levels, healthy balance sheets of financial institutions and corporates, and the government’s continued emphasis on capital expenditure, the bank noted.
This is corroborated by positive business sentiments highlighted in the Reserve Bank’s enterprise surveys and PMIs, it said.
Real gross domestic product (GDP) growth for fiscal 2025-26 is projected at 6.7 per cent, with the first quarter (Q1) at 6.7 per cent; Q2 at 7 per cent; and Q3 and Q4 at 6.5 per cent each. The risks are evenly balanced, the bank added.
Fibre2Fashion News Desk (DS)