- The Monetary Policy Committee decided to maintain the repo rate at 5.25% amid a significant shift in macroeconomic conditions, prioritizing economic stability over further easing.
- This decision comes in light of increased inflation risks due to geopolitical tensions and rising energy prices, prompting a revision of the FY27 CPI inflation projection to 5.1%.
- The pause in monetary policy is seen as essential for effective transmission and maintaining credit affordability, supporting sustainable growth amid external challenges.
