From mint · Eshita Gain · · 1m
RBI MPC Minutes Show Two Opposed Rate Shift
RBI MPC minutes reveal two members opposed shift from neutral to calibrated tightening in October meeting.
In brief
RBI MPC minutes reveal two members opposed shift from neutral to calibrated tightening in October meeting. RBI raised repo rate by 25 bps to 5.50% as two MPC members preferred neutral stance over tightening. Originally reported by mint.
October Meeting Rate Hike
RBI raised repo rate by 25 basis points to 5.50% in October meeting.
MPC Stance Shift
All six MPC members supported rate hike but two opposed shift to calibrated tightening.
Opposed Members
Dr. Nagesh Kumar and Prof. Ram Singh preferred neutral stance over tightening.
RBI Governor's View
RBI Governor Sanjay Malhotra supported shift to calibrated tightening due to inflation pressures.
Opposition Reasons
Kumar cited geopolitical uncertainties; Singh warned of rate hike cycle impact on demand.
Inflation Projections
CPI inflation projected to reach 6% in Q3 before easing to 5.7% in Q4.
Next Meeting
Next MPC meeting scheduled for December 2-4, 2026.
What it means
RBI raised repo rate by 25 bps to 5.50% as two MPC members preferred neutral stance over tightening.
