India Interest Rate

Last Release

Feb 06, 2026

Actual

5.25

Units In

5.25

Frequency

Daily

Next Release

N/A

Time to Release

N/A

Highest	Lowest	Average	Date Range	Source
14.5 Aug 2000	4 May 2020	6.35 %	2000-2026	Reserve Bank of India

In India, interest rate decisions are taken by the Reserve Bank of India's Central Board of Directors. The official interest rate is the benchmark repurchase rate. In 2014, the primary objective of the RBI monetary policy became price stability, giving less importance to government's borrowing, the stability of the rupee exchange rate and the need to protect exports. In February 2015, the government and the central bank agreed to set a consumer inflation target of 4 percent, with a band of plus or minus 2 percentage points, from the financial year ending in March 2017.

Latest Updates

The Reserve Bank of India (RBI) maintained its key repo rate at 5.25% during its February 2026 meeting, the first monetary policy decision of the year, after cutting it by 25 bps at the December meeting, in line with forecasts, amid confidence in a softer inflation outlook and improving growth prospects. India’s annual inflation accelerated to 1.33% in December 2025 but remained below the RBI’s tolerance band of 2%–6%, while GDP grew 8.2% in the September quarter. The decision comes after the Union Budget boosted government spending and US–India trade deals raised expectations of stronger economic growth. On the economic outlook, the RBI raised its GDP growth forecast for FY2025/26 to 7.4%, up from its earlier estimate of 7.3%. GDP growth for H1 of FY27 was also revised upward, with growth projected at 6.9% in Q1 and 7.0% in Q2. Meanwhile, inflation for FY2025/26 is projected at 2.1%. The RBI also kept the SDF rate at 5.0% and the MSF rate at 5.50%.