In a significant development for the Indian economy, the Reserve Bank of India (RBI) has announced a reduction in the repo rate by 25 basis points to 5.15%. This decision comes as the RBI aims to boost economic growth amid global headwinds and domestic challenges. The repo rate cut is expected to lower the cost of borrowing for individuals and businesses, stimulating spending and investment. The RBI also revised its GDP growth forecast for the current fiscal year to 6.1%, down from the earlier projection of 6.9%. The central bank highlighted the need for structural reforms to revive economic growth and emphasized the importance of maintaining financial stability. The repo rate cut is seen as a proactive measure by the RBI to provide impetus to the economy, which has been facing slowdown pressures. This move is likely to have a positive impact on sectors such as real estate, auto, and consumer goods, among others. The RBI’s decision is in line with efforts to support economic expansion and comes at a time when there is a need to address various challenges facing the Indian economy. As the country aims to achieve higher growth rates and attract investments, the RBI’s monetary policy plays a crucial role in shaping the economic landscape. Overall, the repo rate cut is expected to provide a much-needed boost to the economy and support the government’s efforts to accelerate growth.