2025: The year RBI used the chopper

The RBI ended 2025 with its most aggressive pro-growth shift in six years, cutting interest rates four times for a cumulative 125 basis points, bringing the repo rate down from 6.50% to 5.25%. Under Governor Sanjay Malhotra, the central bank pivoted decisively toward growth, supported by record-low inflation and strong GDP expansion above 8% in mid-2025.