RBI Set to Reveal Key Policy Decision Amid Global Headwinds
The Reserve Bank of India (RBI) will announce its first monetary policy decision for FY26 today, April 9, as global trade tensions intensify following new US tariff hikes.
The Monetary Policy Committee (MPC), led by Governor Sanjay Malhotra, concluded a three-day meeting on Tuesday. The decision is expected this morning, followed by a press conference at 12 PM, which will be streamed on the RBI’s official YouTube channel.
This announcement comes amid growing worries of a global economic slowdown, especially for emerging markets like India, as the US moves are likely to disrupt international trade flows.
According to experts, the RBI is likely to reduce the repo rate by 25 basis points, a move supported by softening inflation and early signs of domestic economic deceleration. Analysts also anticipate a shift in the central bank’s stance from ‘neutral’ to ‘accommodative’, indicating openness to further rate cuts if needed.
Governor Malhotra’s commentary on India’s economic path and the implications of global trade challenges will be in focus.
In its last policy update, the RBI lowered the repo rate to 6.25%, marking the first rate cut in almost five years, while retaining a neutral policy stance.
Indian Markets Climb Despite Global Concerns
Despite global uncertainty, Indian stock markets ended Tuesday on a strong note. The Nifty 50 surged by 1.69% to settle at 22,535.85, and the Sensex gained 1.49%, closing at 74,227.08.
A Balasubramanian, CEO of Aditya Birla Sun Life AMC, observed that Indian markets are largely insulated from the immediate effects of US tariff hikes.He added that declining oil prices may ease inflation further, potentially giving the RBI more space to reduce rates and support growth.
