RBI Cuts Rate to 5.5%, Turns Neutral Amid Global Slowdown: Vestian

By – Shrinivas Rao, FRICS, CEO, Vestian 
“As expected, RBI lowered the repo rate amid global growth slowdown to boost domestic consumption. This is the third rate cut since the start of the year, as headline inflation has softened and is below the target range of 4%. Since February 2025, the RBI has cut the repo rate by 100 basis points (currently standing at 5.5%) with no headroom left for further rate cuts. Hence, the central bank has changed its stance from ‘Accommodative’ to ‘Neutral’ to carefully observe the global scenario and act accordingly. Major commercial banks are expected to pass on this benefit to homebuyers and developers by lowering interest rates, stimulating real estate demand and investments.”
 

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