Interest Rates Remain Unchanged As RBI Maintains Status Quo

India’s central bank kept the repo rate unchanged at 5.25% on Feb 06, 2026, as markets tracked low inflation and steady growth projections.

Rates Stay Put, Liquidity In Focus

The Monetary Policy Committee (MPC) ended its Feb 4–6 review with a status quo on interest rates, keeping the policy repo at 5.25%. 

A Reuters report dated Feb 06, 2026 said the stance stayed neutral, with fresh moves tied to incoming inflation and growth prints. The same report flagged projected inflation of 2.1% and growth of 7.4% for the year.

Before the details, here is the policy-rate snapshot reported on decision day. (LiveMint, Feb 06, 2026)
 

With rates unchanged, the debate has shifted to what pushed the pause and what could change the next call.

What Sparked The Rate Watch This Week?

The trigger was not a sudden inflation flare-up. It was timing. Traders and borrowers went into the Feb policy week expecting a hold, after cumulative easing over the past year. 

A Reuters pre-meet report dated Feb 04, 2026 noted 59 of 70 economists expected no change, even though some still argued for another cut. Markets were watching liquidity signals too.

What The Feb 2026 Policy Call Revealed?

The MPC chose continuity at 5.25%, and the core pitch was steady domestic demand with low inflation. Reuters, in its Feb 06, 2026 decision-day report, put inflation projection at 2.1% and GDP growth at 7.4%. LiveMint’s live coverage on Feb 06, 2026 echoed the same growth forecast headline and the neutral stance. 

External cues also shaped the comfort level. Reuters reported that a US trade agreement reduced tariffs on Indian imports from nearly 50% to 18%, easing some pressure on the outlook. Business Standard also framed the trade deal as lowering urgency for immediate support. 

How The Status Quo Story Built Up?

The pause narrative was built in advance, across multiple desks. The New Indian Express, in a report dated Feb 04, 2026, wrote that experts were forecasting a status quo and pointed to cumulative cuts of 125 bps that brought the repo to 5.25%. 

News On AIR, in its Feb 05, 2026 report, also flagged expectations of no change and cited that inflation stayed well below the 4% target. 

The Reuters poll track has been consistent too. A Reuters report dated Jan 29, 2026 said economists expected rates to stay at 5.25% through 2026, after cumulative cuts of 125 bps since Feb 2025. LoansJagat also carried the same no-cut expectation ahead of the Feb meeting. 

Here are the key numbers markets are tracking, as reported in the run-up and on decision day.
 

After these prints, attention has moved to transmission and liquidity conditions.

What Stakeholders Said After The Decision?

Market commentary leaned on predictability. The Economic Times report dated Feb 06, 2026 highlighted “pre-emptive” liquidity operations to support transmission, even with the repo unchanged at 5.25%. Consumer-facing explainers also flagged stable EMIs in the near term. 

Conclusion

With the repo held at 5.25%, the policy stance is steady, and the next cue is liquidity action and incoming inflation data.

For borrowers and depositors, the near-term headline is stability, not fresh repricing.