5.50%
Current RBI Repo Rate in India (October 2026)
Unanimously Hiked (+25 bps) by the 6-member Monetary Policy Committee (MPC) · Chaired by Governor Shri Sanjay Malhotra · Calibrated Tightening Stance
What is the Current Repo Rate & Effective Date of RBI in India? (October 2026)
The current RBI repo rate in India is 5.50%, which took effect with immediate effect on 7 October 2026 for all central bank and interbank liquidity operations. For commercial bank retail loans (home, personal, car, and MSME credit) linked to External Benchmark Lending Rates (EBLR/RLLR), bank loan rate resets take effect from 8 October 2026 onwards or on the borrower's scheduled monthly/quarterly reset cycle. At its 63rd meeting on October 7, 2026 (Press Release 2026-2027/1264), the Monetary Policy Committee (MPC) chaired by Governor Shri Sanjay Malhotra voted unanimously to increase the policy repo rate by 25 bps from 5.25% to 5.50%. Consequently, the Standing Deposit Facility (SDF) rate stands adjusted to 5.25%, the Marginal Standing Facility (MSF) and Bank Rate to 5.75%, and Fixed Reverse Repo is 3.35%. The MPC also shifted its policy stance to Calibrated Tightening, signaling that near-term rate cuts are off the table. This benchmark rate remains operative until the 64th MPC resolution on December 2 to 4, 2026.
Current RBI Policy Rates & Key Financial Indicators at a Glance
Operative monetary policy rates under the Reserve Bank of India Act & Banking Regulation Act
Policy Repo Rate
5.50%
Hiked by +25 bps
Standing Deposit (SDF)
5.25%
Operative absorption floor
MSF / Bank Rate
5.75%
Penal borrowing ceiling
Fixed Reverse Repo
3.35%
Legacy LAF facility
Cash Reserve (CRR)
4.50%
Mandatory bank reserve
Statutory Liquidity (SLR)
18.00%
G-Sec & gold reserves
Next Scheduled MPC Meeting
December 2 to 4, 2026
64th MPC meeting & policy announcement
Why Rates Don't Change Every Month: Under Section 45ZB of the RBI Act, the Monetary Policy Committee convenes bi-monthly (every 2 months). The rate of 5.50% decided in the 63rd MPC continues as the official national benchmark until the 64th MPC resolution in December 2026.
When Is the New RBI Repo Rate Effective From? (Effective Date & Implementation Dates)
Official operational timelines for RBI market operations, commercial bank EBLR loan resets, and next MPC meeting.
7 October 2026
63rd MPC meeting resolution announced by Governor Shri Sanjay Malhotra via RBI Press Release 2026-2027/1264.
Immediate Effect (7 Oct 2026)
Operative repo rate (5.50%), SDF floor (5.25%), MSF ceiling (5.75%), and Bank Rate took effect same-day across all RBI windows.
8 October 2026 onwards
Commercial banks (SBI, PNB, HDFC, ICICI, BoB) update external benchmark lending rates (EBLR/RLLR) w.e.f. 08/10/2026 or on scheduled reset cycles.
4 December 2026 (10 AM)
64th MPC meeting convenes 2 to 4 December 2026. Minutes of the October meeting released on 21 October 2026.
Why Did Banks (SBI, PNB, HDFC, Bank of Baroda) Send SMS Alerting Interest Rate Changes From 08/10/2026?
If you received an SMS from your bank (such as "Dear Customer, interest rate on your loan account is revised w.e.f. 08/10/2026..."), this is the direct result of the RBI's 25 bps rate hike. Under RBI regulations, all floating-rate retail loans (home loans, loan against property, personal loans, and MSME credit) sanctioned after 1 October 2019 are linked to External Benchmark Lending Rates (EBLR or RLLR).
When the RBI changes the repo rate, banks are required to pass the revision into their benchmark without delay. Leading banks updated their benchmark effective 8 October 2026. For existing borrowers, the actual adjustment in monthly EMI or repayment tenure reflects on the customer's next scheduled reset date (monthly or quarterly cycle).
Policy Repo Rate
Hiked by +25 bps
Standing Deposit (SDF)
Absorption floor rate
MSF / Bank Rate
Emergency ceiling rate
Policy Stance
Growth-inflation calibrated
63rd MPC Meeting Key Decisions & Official Resolution (October 2026)
Resolution of the Monetary Policy Committee published via RBI Press Release No. 2026-2027/1264 on October 7, 2026.
Projected quarterly trajectory: Q1 (actual): 7.8% | Q2: 7.2% | Q3: 6.9% | Q4: 6.8%. Projected at 7.1% for Q1:2027-28.
Underpinned by robust domestic demand, buoyant services momentum, strong manufacturing, healthy bank credit flows, and government infrastructure investments.
Projected quarterly trajectory: Q2: 4.9% | Q3: 6.0% (Peak) | Q4: 5.7%. Projected at 5.6% for Q1:2027-28.
Headline inflation is expected to average 5.8% across the next three quarters with food spikes (sugar, onion) and crude volatility from West Asia conflicts. Core inflation projected at 4.4%.
Why the MPC Hiked Rates by 25 bps and Shifted to Calibrated Tightening:
1. Inflation Outlook Not Benign: The MPC noted that headline CPI inflation is expected to average almost 5.8% over the next three quarters, driven by ongoing El Niño conditions, food price spikes, and volatile global energy benchmarks. In this milieu, recalibrating the policy rate was imperative.
2. Preempting Second-Round Effects: Monetary policy action acts to curtail second-round effects in inflation expectations and firm-level pricing behaviour, particularly amid strong growth in monetary and credit aggregates.
3. Voting Breakdown: The MPC voted unanimously (6-0) to increase the repo rate by 25 bps to 5.50%. On the stance, a 4-2 majority voted to shift to calibrated tightening (signaling that rate cuts are off the table in the near term), while Dr. Nagesh Kumar and Prof. Ram Singh favoured retaining a neutral stance.
Next RBI MPC Meeting Schedule & Policy Outlook (December 2026)
64th Monetary Policy Committee Deliberation Timeline and Rate Decision Window
The Reserve Bank of India convenes the Monetary Policy Committee bi-monthly. In between scheduled policy meetings, the benchmark repo rate remains unchanged at 5.50% unless unforeseen macroeconomic shocks necessitate an unscheduled off-cycle intervention. Here is the scheduled timeline and policy dynamics for the upcoming 64th MPC meeting:
December 2, 2026: Day 1 internal deliberations on domestic liquidity and credit flow.
December 3, 2026: Day 2 review of global headwinds, crude benchmarks & CPI print.
December 4, 2026 (10:00 AM IST): Governor's live policy resolution & press address.
The MPC will assess festival demand trends, post-monsoon kharif harvest arrivals, transmission of the 25 bps rate hike across commercial bank lending books, and global rate actions by major central banks.
Following the October hike, commercial banks (SBI, HDFC, ICICI, PNB) are adjusting their external benchmark lending rates (EBLR/RLLR) for home and business loans upward by 25 bps within their scheduled reset windows.
Interactive Repo Rate to Home Loan EMI Calculator
Simulate how a potential 25 bps or 50 bps rate cut at the next MPC meeting impacts your monthly EMI and lifetime interest.
₹43,391/mo
Total Interest Payable: ₹54,13,840
If RBI Cuts Rate in Next Meeting:
25 bps Cut (-0.25%)
New Rate: 8.25%
Save ₹788/mo
₹1,89,120 total lifetime
50 bps Cut (-0.50%)
New Rate: 8.00%
Save ₹1,569/mo
₹3,76,560 total lifetime
* RBI mandate requires banks to pass repo rate changes to retail borrowers within one quarter.
Complete RBI Policy & Reserve Ratios Matrix (2026)
All benchmark interest rates and statutory reserve requirements determined under the RBI Act and BR Act.
| Rate / Reserve Ratio | Current Rate | Previous Rate | Purpose / Operational Role |
|---|---|---|---|
| Policy Repo Rate | 5.50% | 5.25% | Rate at which RBI injects liquidity to commercial banks against securities. |
| Standing Deposit Facility (SDF) | 5.25% | 5.00% | Floor rate for absorbing uncollateralised surplus liquidity from banks. |
| Marginal Standing Facility (MSF) | 5.75% | 5.50% | Penal ceiling rate for emergency overnight borrowing by banks. |
| Bank Rate | 5.75% | 5.50% | Standard rate for long-term lending & statutory penalty calculations. |
| Fixed Reverse Repo Rate | 3.35% | 3.35% | Legacy facility under LAF (largely superseded by the SDF window). |
| Cash Reserve Ratio (CRR) | 4.50% | 4.50% | Mandatory cash balance banks must maintain with the RBI as % of NDTL. |
| Statutory Liquidity Ratio (SLR) | 18.00% | 18.00% | Mandatory reserve invested in approved gold, cash, and G-Secs. |
Major Banks Repo-Linked Lending Rates (EBLR & RLLR)
Current floating home loan interest rate bands across top Indian lenders linked to the 5.50% Repo Rate.
State Bank of India (SBI)
Repo + 3.25% onwards
HDFC Bank
Repo + 3.30% onwards
ICICI Bank
Repo + 3.35% onwards
Punjab National Bank (PNB)
Repo + 3.20% onwards
Bank of Baroda (BoB)
Repo + 3.15% onwards
Axis Bank
Repo + 3.40% onwards
What is the Current Reverse Repo Rate in India (2026)?
Fixed Reverse Repo (3.35%) vs Standing Deposit Facility (SDF at 5.25%) Explained
Many market participants and loan applicants search for India's current "reverse repo rate". In the modern RBI operating framework, liquidity absorption is managed primarily through the Standing Deposit Facility (SDF) rather than the legacy Fixed Reverse Repo window:
1. Standing Deposit Facility (SDF) — 5.25%
Operative FloorIntroduced in April 2022, the SDF rate is set 25 basis points below the policy repo rate (currently 5.25%). When commercial banks deposit surplus funds overnight with the RBI, they receive 5.25%. Critically, the RBI does not need to provide government securities (G-Secs) as collateral for SDF deposits.
2. Fixed Reverse Repo Rate — 3.35%
Collateralized WindowThe legacy Fixed Reverse Repo Rate remains on the books at 3.35%. Because 3.35% is significantly lower than the 5.25% SDF rate, banks do not park discretionary surplus cash through this facility. It remains retained in the RBI's regulatory architecture for specific collateralized liquidity actions.
RBI Repo Rate History — Multi-Year Track Record
Chronological record of Monetary Policy Committee decisions, rate changes, and policy stances.
| MPC Meeting | Repo Rate | Change | Policy Stance |
|---|---|---|---|
| October 2026 (63rd MPC) | 5.50% | ⬆️ +0.25% | Calibrated Tightening |
| August 2026 (62nd MPC) | 5.25% | ⏸ Unchanged | Neutral |
| June 2026 (61st MPC) | 5.25% | ⏸ No Change | Neutral |
| April 2026 (60th MPC) | 5.25% | ⏸ No Change | Neutral |
| February 2026 (59th MPC) | 5.25% | ⬇️ -0.25% | Neutral |
| December 2025 (58th MPC) | 5.50% | ⬇️ -0.25% | Neutral |
| October 2025 (57th MPC) | 5.75% | ⏸ No Change | Neutral |
| August 2025 (56th MPC) | 5.75% | ⬇️ -0.25% | Accommodative |
| June 2025 (55th MPC) | 6.00% | ⬇️ -0.25% | Accommodative |
| April 2025 (54th MPC) | 6.25% | ⬇️ -0.25% | Neutral |
| February 2025 (53rd MPC) | 6.50% | ⬇️ -0.25% | Neutral |
| December 2024 (52nd MPC) | 6.75% | ⬇️ -0.25% | Neutral |
| October 2024 (51st MPC) | 6.75% | ⏸ No Change | Withdrawal |
| August 2024 (50th MPC) | 6.50% | ⏸ No Change | Withdrawal |
| June 2024 | 6.50% | ⏸ No Change | Withdrawal |
* Historical rates compiled from official RBI Monetary Policy statements and gazettes.
Frequently Asked Questions (FAQ)
Authoritative answers regarding current repo rates, MPC bi-monthly schedules, and bank lending impact.
Q: From which date is the new RBI repo rate effective? (Effective Date & Implementation Schedule)
A: The new policy repo rate of 5.50% is effective immediately from 7 October 2026 for all RBI and interbank liquidity operations. For commercial bank retail borrowers (home loans, car loans, MSME credit) linked to External Benchmark Lending Rates (EBLR/RLLR), the revised rate takes effect from 8 October 2026 or on the borrower's next scheduled interest reset date (typically the 1st of the subsequent month or quarter).
Q: What is the current repo rate of RBI in India? (October 2026)
A: The current RBI repo rate in India is 5.50% as of October 2026. This policy rate was hiked by 25 basis points (from 5.25% to 5.50%) at the 63rd Monetary Policy Committee (MPC) meeting under the chairmanship of Governor Shri Sanjay Malhotra with a unanimous 6-0 vote on the rate hike and a shift to Calibrated Tightening stance (4-2 majority). Because the MPC reviews rates bi-monthly, 5.50% remains India's operative benchmark lending rate until the next MPC resolution on December 2 to 4, 2026.
Q: Why did banks (SBI, PNB, HDFC, Bank of Baroda) send SMS stating interest rate modified from 08/10/2026?
A: Under RBI guidelines on External Benchmark Linked Lending Rates (EBLR), commercial banks are required to adjust floating loan interest rates in tandem with repo rate revisions. When RBI hiked the repo rate by 25 bps on 7 October 2026, leading public and private banks (including SBI, Punjab National Bank, HDFC Bank, and Bank of Baroda) updated their benchmark lending rates effective from 8 October 2026. Borrowers received automated SMS notifications alerting them of this mandatory benchmark revision.
Q: What are the current SDF, MSF, Bank Rate, CRR, and SLR rates in India?
A: Following the October 2026 policy hike, India's key policy interest rates and reserve requirements are: Policy Repo Rate: 5.50%, Standing Deposit Facility (SDF): 5.25%, Marginal Standing Facility (MSF): 5.75%, Bank Rate: 5.75%, Fixed Reverse Repo Rate: 3.35%, Cash Reserve Ratio (CRR): 4.50%, and Statutory Liquidity Ratio (SLR): 18.00%.
Q: When is the next RBI MPC meeting in December 2026?
A: The next RBI Monetary Policy Committee meeting is scheduled for December 2 to 4, 2026. The 3-day policy deliberation concludes on December 4, 2026 at 10:00 AM IST with the Governor's live policy resolution address and interest rate decision. Detailed meeting minutes are published on October 21, 2026.
Q: Will the RBI repo rate increase further or decrease in December 2026?
A: Rate cuts are ruled out in the near term because the MPC shifted its monetary policy stance to 'Calibrated Tightening'. With headline CPI inflation projected to average 5.8% over Q2-Q4 FY27 (peaking at 6.0% in Q3), economists and policy analysts project either a rate pause (hold at 5.50%) or a potential 25 bps follow-up hike, but no rate cuts until mid-2027.
Q: How does the current repo rate affect floating home loan EMIs (SBI, HDFC, ICICI, PNB)?
A: All floating-rate retail loans (home and personal loans) sanctioned by commercial banks are mandated by the RBI to be linked to External Benchmark Lending Rates (EBLR/RLLR). With the repo rate at 5.50%, home loan interest rates average between 8.65% and 9.60% p.a. across major lenders (SBI, HDFC Bank, ICICI Bank, PNB, Bank of Baroda), reflecting the 25 bps rate increase. A 25 bps hike adds approximately ₹16 per lakh in monthly EMI on a 20-year loan (approx. ₹480/month on a ₹30 lakh loan). Use our interactive calculator above to simulate your exact EMI impact.
Q: RBI Repo Rate 2026: Kab Se Lagu Hoga Aur Loan Par Kya Asar Padega? (यह कब से लागू होगा?)
A: RBI का नया रेपो रेट 5.50% 7 अक्टूबर 2026 से तुरंत लागू (Effective Immediately) हो चुका है। बैंकों के होम लोन और पर्सनल लोन (EBLR/RLLR) पर यह 8 अक्टूबर 2026 या अगली रीसेट तारीख से लागू हो रहा है। 25 बेसिस पॉइंट की बढ़ोतरी से 20 साल के होम लोन पर प्रति 1 लाख रुपये पर लगभग ₹16 प्रति माह की EMI बढ़ोतरी होगी (यानी ₹30 लाख के लोन पर लगभग ₹480/महीना अधिक EMI)।
Q: What is the difference between Repo Rate, SDF Rate, and MSF Rate?
A: The Repo Rate (5.50%) is the primary benchmark rate at which RBI injects short-term liquidity to banks against government securities. The Standing Deposit Facility (SDF, 5.25%) is the floor rate at which banks deposit surplus cash with RBI without collateral. The Marginal Standing Facility (MSF, 5.75%) is the penal ceiling rate for emergency overnight borrowing. The Fixed Reverse Repo Rate remains at 3.35%.
Q: Is the RBI repo rate different across Indian cities like Kolkata, Mumbai, or Delhi?
A: No. The RBI Policy Repo Rate is a sovereign benchmark determined by the Central Bank and applies uniformly across all states, union territories, and cities in India (including Kolkata, Mumbai, Delhi, Bengaluru, Chennai, and Hyderabad). Individual commercial bank lending spreads may vary based on your credit score and loan category, but the underlying benchmark rate is identical nationwide.
Q: What is the current Bank Rate in India, and how does it affect MSMEs?
A: The current Bank Rate is 5.75% (aligned with the Marginal Standing Facility rate). Beyond emergency borrowing, the Bank Rate serves as the statutory benchmark for commercial penalties. Under Section 16 of the MSMED Act, 2006, delayed payments to registered MSMEs attract mandatory compound monthly interest at three times the Bank Rate (17.25% p.a.).
Q: Why does the RBI repo rate not change every month?
A: Under Section 45ZB of the Reserve Bank of India Act, 1934, the Monetary Policy Committee is statutory mandated to meet at least four times a year, operating on a bi-monthly schedule (every 2 months: February, April, June, August, October, December). Rate decisions remain active throughout the two-month interim between meetings unless an extraordinary off-cycle meeting is convened.
Q: What were the GDP growth and inflation forecasts in the latest MPC resolution?
A: For FY 2026-27, the RBI MPC projected real GDP growth at 7.1% (Q1 actual: 7.8%, Q2: 7.2%, Q3: 6.9%, Q4: 6.8%, Q1 FY28: 7.1%) and headline CPI inflation at 5.2% (Q2: 4.9%, Q3: 6.0% [Peak], Q4: 5.7%, Q1 FY28: 5.6%). Core inflation is projected at 4.4%.
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Last updated: October 2026 · Official Source: Reserve Bank of India Press Release No. 2026-2027/1264 & 1265
Disclaimer: Content provided for informational and corporate compliance intelligence purposes. For official regulatory circulars, visit rbi.org.in.