In a move to address global economic uncertainties, the Reserve Bank of India (RBI) has reduced the repo rate to 6.5% and embraced an accommodative stance, suggesting the possibility of additional rate cuts in the future. With a focus on fostering economic growth, the RBI has recognized the hurdles ahead and adjusted its GDP growth forecast for the fiscal year 2025-26 to 6.5%. This decision comes amidst escalating trade tensions and market volatility, aiming to provide support to the Indian economy. The central bank’s proactive measures are intended to stimulate lending and investment, ultimately boosting economic activity in the country. By implementing a growth-oriented monetary policy, the RBI seeks to navigate the challenges posed by the current global economic climate and propel India towards a path of sustainable development.