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 5.75%. This decision marks the third consecutive rate cut this year and comes as a measure to boost economic growth amidst global uncertainties. The repo rate is the rate at which the RBI lends money to commercial banks, and a reduction in this rate is expected to lead to lower borrowing costs for individuals and businesses. This move is likely to stimulate investment and consumption, providing much-needed relief to various sectors of the economy. Additionally, the RBI has also revised its GDP growth forecast for the current fiscal year to 7%, up from the previous estimate of 6.8%. This upward revision indicates optimism about the future trajectory of the Indian economy. The RBI’s decision is in line with the government’s efforts to kickstart economic growth and create a conducive environment for businesses to thrive. It is expected to have a positive impact on sectors such as real estate, automobile, and consumer goods. The reduction in the repo rate is also likely to benefit existing borrowers, as banks are expected to pass on the rate cut by lowering interest rates on loans. Overall, the RBI’s move is seen as a proactive step towards supporting economic expansion and bolstering investor sentiment in India.