Minutes of the Monetary Policy Committee Meeting, October 5 to 7, 2026
Distilled Policy Brief
- The Monetary Policy Committee voted unanimously to increase the policy repo rate by 25 basis points to 5.50 per cent and changed its stance to calibrated tightening.
- Real GDP growth for 2026-27 is projected at 7.1 per cent, supported by strong private consumption, fixed investment, and robust merchandise and services exports.
🎯 Prelims High-Yield Examination Points
The policy repo rate was increased by 25 bps to 5.50 per cent, with the standing deposit facility rate at 5.25 per cent and the marginal standing facility rate and Bank Rate at 5.75 per cent.
⚖️ Mains Analytical & Syllabus Linkages
Examine the role of the Monetary Policy Committee in balancing domestic growth resilience against global economic headwinds such as crude oil price volatility and shifting global interest rates.
🎯 UPSC Prelims Practice Drill
With reference to the Monetary Policy Committee (MPC) and its statutory framework under the Reserve Bank of India Act, 1934, consider the following statements regarding its recent meeting: 1. The MPC voted unanimously to increase the policy repo rate by 25 basis points to 5.50 per cent and changed its stance to calibrated tightening. 2. Under Section 45ZL of the RBI Act, 1934, the Reserve Bank is required to publish the minutes of the proceedings of the MPC meeting on the fourteenth day after every meeting. Which of the statements given above is/are correct?
- [A] 1 only
- [B] 2 only
- [C] Both 1 and 2
- [D] Neither 1 nor 2
▶ Reveal Official Answer & Analytical Explanation
Statement 1 is correct as the MPC voted unanimously to increase the policy repo rate by 25 basis points to 5.50 per cent and shifted its stance to calibrated tightening. Statement 2 is also correct because Section 45ZL of the Reserve Bank of India Act, 1934 mandates the publication of the minutes of the proceedings of the MPC on the fourteenth day after every meeting, including resolutions and individual members' votes.
🏛️ Historical Twin PYQ Anchor (2021)
Consider the following statements regarding the "National Clean Air Programme (NCAP)": 1. It is implemented by the Ministry of Environment, Forest and Climate Change. 2. Central Pollution Control Board acts as the sole regulatory executive body.