All Eyes On RBI MPC, Panel To Reveal Decision On Key Rates On April 9

The Monetary Policy Committee (MPC) is chaired by RBI Governor Sanjay Malhotra. The 6-member committee meets every two months and conducts six meetings in a financial year.

Notably, the committee slashed the repo rate by 25 basis points in its previous meeting in February, bringing it down to 6.25 per cent.

Source : PTI

The Reserve Bank of India (RBI) commenced its bi-monthly Monetary Policy Committee (MPC) meeting on Monday, with the market anticipating another 25 basis point reduction in interest rates. The decision, set to be revealed on Wednesday, comes amid inflation showing signs of cooling and global economic conditions growing increasingly volatile due to trade tensions.

The Monetary Policy Committee (MPC) is chaired by RBI Governor Sanjay Malhotra. The 6-member committee meets every two months and conducts six meetings in a financial year. The MPC includes three external members appointed by the government and two senior RBI officials, apart from the Governor. 

These meetings focus on deliberating interest rates, inflation outlook, money supply, GDP growth estimates, and other macroeconomic indicators. In addition to April, the RBI MPC is scheduled to meet in June, August, October, December, and February.

RBI MPC's Decision In Feb 2025

Notably, the committee slashed the repo rate by 25 basis points in its previous meeting in February, bringing it down to 6.25 per cent.

That move marked the central bank’s first rate cut since May 2020, and its first revision after more than two years. With the global economy facing turbulence—especially from tariff actions by the US—analysts believe the RBI may extend its accommodative stance to cushion domestic growth.

First MPC For Poonam Gupta

This will also be the first meeting for Poonam Gupta, who was named the deputy governor for the RBI recently. Gupta, a former World Bank economist, is also the first female deputy governor for the central bank in more than a decade. In addition to the global lender, Gupta also has experience working at the International Monetary Fund. 

Notably, she has been known as an advocate for lower interest rates. All eyes will be on how she and the rest of the monetary committee evaluates the country's economic path ahead, balancing the aftermath of the steep tariffs imposed by US President Donald Trump.