{
  "id": 15884523,
  "title": "Minutes of the Monetary Policy Committee Meeting, October 5 to 7, 2026",
  "url": "https://urgent.news/2026/10/21/minutes-of-the-monetary-policy-committee-meeting-october-5-to-7-2026",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-21T12:20:53.000Z",
  "source": {
    "name": "Reserve Bank of India",
    "slug": "reserve-bank-of-india",
    "url": "https://www.rbi.org.in/scripts/BS_PressReleaseDisplay.aspx?prid=63839"
  },
  "original_language": "en",
  "account": "Minutes of the Monetary Policy Committee Meeting, October 5 to 7, 2026\n\nOn October 5 to 7, 2026, the Monetary Policy Committee (MPC) of the Reserve Bank of India held its 63rd meeting under the chairmanship of Shri Sanjay Malhotra, Governor. The members present were Dr. Nagesh Kumar, Shri Saugata Bhattacharya, Prof. Ram Singh, Dr. Poonam Gupta, and Shri Indranil Bhattacharyya.\n\nReviewing global and domestic macroeconomic developments, the MPC unanimously decided to increase the policy repo rate under the liquidity adjustment facility (LAF) by 25 basis points (bps) to 5.50 percent. Consequently, the standing deposit facility (SDF) rate was adjusted to 5.25 percent, while the marginal standing facility (MSF) rate and the Bank Rate were raised to 5.75 percent. The MPC announced its stance as calibrated tightening.\n\nGlobal outlook: The re-escalation of conflict in West Asia and volatility in crude oil prices have kept the global economy in flux since the last MPC meeting in August 2026. While global growth has remained resilient, accelerating inflation in key economies has led to a shift towards hawkish monetary policy. The US Federal Reserve raised interest rates by 25 bps in September, and other major central banks have also tightened rates, reinforcing the expectation of higher global policy rates. The global financial market conditions remain tight, with record high bond yields. The West Asia conflict's resolution remains uncertain, posing potential risks to the global outlook, such as further tightening of financial conditions, elevated AI-related asset valuations, and high public debt.\n\nDomestic outlook: Despite global headwinds, the Indian economy has demonstrated resilience. According to National Statistics Office (NSO) estimates, real GDP growth in Q1:2026-27 was 7.8 percent, higher than expected. Strong private consumption, fixed investment, rebounding merchandise exports, and sustained service exports fueled growth. The manufacturing sector grew robustly, while services sector activity strengthened due to robust domestic and external demand.\n\nLooking ahead, global economic uncertainty will continue to impact domestic economic activity. Uncertainty surrounding energy prices, supply chain pressures, and the lingering West Asia conflict may have adverse effects later this year. However, diversification of supply sources, deficient monsoon, and government interventions are expected to mitigate these risks. Strong capacity utilization, robust credit flows, and government-driven infrastructure projects are expected to sustain investment activity. Meanwhile, buoyant services exports and bilateral trade agreements should bolster merchandise exports.\n\nReal GDP growth for 2026-27 is projected at 7.1 percent, with Q2 at 7.2 percent, Q3 at 6.9 percent, Q4 at 6.8 percent, and Q1:2027-28 at 7.1 percent. The risks are evenly balanced.",
  "summary": "[Under Section 45ZL of the Reserve Bank of India Act, 1934] The sixty third meeting of the Monetary Policy Committee (MPC), constituted under Section 45ZB of the Reserve Bank of India Act, 1934, was held during October 5, 2026. 2. The meeting was chaired by Shri Sanjay Malhotra, Governor and was attended by all the members – Dr. Nagesh Kumar, Director and Chief Executive, Institute for Studies in…",
  "key_points": [
    "Monetary Policy Committee increased policy repo rate by 25 bps to 5.50%",
    "Adjusted standing deposit facility rate to 5.25% and marginal standing facility to 5.75%",
    "Projected real GDP growth for 2026-27 at 7.1% with balanced risks"
  ],
  "editors_take": "The decision to adopt a calibrated tightening stance signals a shift toward prioritizing inflation control as global volatility and rising interest rates from major central banks pressure the domestic economy.",
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}