2025 can be said to be a good year for those who have borrowed from banks, as the Reserve bank of India's repo rate cut has reduced interest rates on loans, including home loans, auto loans, and jewelry loans by up to 1%. This has saved thousands in interest.

Repo rate cut of up to 1%: The bank OF INDIA' target='_blank' title='reserve bank of india-Latest Updates, Photos, Videos are a click away, CLICK NOW'>reserve bank of india reduced repo rates in all three months, february, April, and June. It reduced the repo rate by 25 basis points each in february and April, and by up to 50 basis points in the meeting held in June. With this, the bank OF INDIA' target='_blank' title='reserve bank of india-Latest Updates, Photos, Videos are a click away, CLICK NOW'>reserve bank of india has reduced the repo rate for loans to other banks from 6.5% to 5.5%.

Interest rates reduced: Following this move by the Reserve bank, all banks have reduced interest rates on loans by up to 1%. This has benefited the common man to a great extent. In this situation, there is information that the interest rate may be reduced further in the bank OF INDIA' target='_blank' title='reserve bank of india-Latest Updates, Photos, Videos are a click away, CLICK NOW'>reserve bank of india meeting to be held in August. The Union Finance Ministry, which has released the country's economic assessment for june, has said that core inflation continues to be under control.
Low Inflation: Since overall inflation is lower than the target of 4 percent set by the bank OF INDIA' target='_blank' title='reserve bank of india-Latest Updates, Photos, Videos are a click away, CLICK NOW'>reserve bank of india, it is hoped that this has created an opportunity for further interest rate cuts. The bank OF INDIA' target='_blank' title='reserve bank of india-Latest Updates, Photos, Videos are a click away, CLICK NOW'>reserve bank of india has forecast that core inflation in the country will be 3.4 percent in the second quarter of the financial year 2026. The Union Finance Ministry has said that the inflation rate in the country will be 3.7 percent for the entire financial year 2026. Currently, price pressures on commodities in the country are decreasing, prices of vegetables are falling, and retail inflation in india has come down significantly in the January-June quarter of 2025, which is the main reason for the Reserve bank of India's repo rate cut, says the Finance Ministry.

 Consumer Price Index inflation has come down to 2.10% in june from 4.31% in January. Consumer Price Index inflation has fallen to a 77-month low. The Union Finance Ministry points out that all this has created a favorable environment for further interest rate cuts. The bank OF INDIA' target='_blank' title='reserve bank of india-Latest Updates, Photos, Videos are a click away, CLICK NOW'>reserve bank of india meeting is being held in mumbai from august 5 to august 7. If the news of an interest rate cut comes out in this, millions of indians will be relieved.
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Sowmiya Sriram

29/07/2025 10:02 AM