In a significant development for the Indian economy, the Reserve Bank of India (RBI) has announced a repo rate cut of 25 basis points. This decision was made during the RBI’s Monetary Policy Committee meeting, signaling a move to boost economic growth. The repo rate now stands at 5.75%, down from 6%. The RBI’s decision comes in response to slowing economic growth and subdued inflation. This rate cut is expected to lower borrowing costs for businesses and consumers, stimulating spending and investment in the economy. The RBI also revised its GDP growth forecast for the current fiscal year to 7%, down from the previous estimate of 7.2%. This move is seen as a proactive measure to address economic challenges and support growth momentum. The repo rate cut is likely to have a positive impact on sectors such as real estate, automobile, and consumer durables. It is also expected to ease liquidity conditions in the financial markets. Overall, the RBI’s decision to cut the repo rate is aimed at providing a much-needed impetus to the Indian economy. The move is likely to be welcomed by businesses and consumers alike, as it is expected to lead to lower interest rates on loans and higher disposable income. The RBI’s proactive stance is seen as a step in the right direction to support economic growth in India.