The Reserve Bank of India (RBI) has recently lowered the repo rate to 6.5% amidst the backdrop of global economic uncertainties, particularly driven by trade tariffs. In a move to boost economic growth, the RBI has taken an accommodative stance, hinting at possible future rate cuts. Despite striving for a growth-oriented monetary policy, the central bank has recognized the prevailing challenges and adjusted its GDP growth forecast for the fiscal year 2025-26 to 6.5%. This decision comes as a strategic measure to support the Indian economy amid the current global economic landscape.