The Reserve Bank of India (RBI), in its latest monetary policy statement released today, noted that the Indian economy has remained resilient despite ongoing global challenges. High-frequency indicators available so far suggest that domestic demand remained steady in Q1 FY2026-27. Private consumption continued to show strength, while investment activity remained resilient, supported by indicators related to construction, capital goods and bank credit.
External demand also remained supportive, with strong growth in services exports complemented by a recovery in merchandise exports. The RBI’s Monetary Policy Committee unanimously decided to keep the policy repo rate under the liquidity adjustment facility unchanged at 5.25%.
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