Core Viewpoint - The Reserve Bank of India's Monetary Policy Committee (MPC) is assessing the repo rate, liquidity trends, inflation outlook, and growth forecasts, with a decision expected on December 5, 2025 [1][6]. Group 1: Monetary Policy Decisions - In the October policy meeting, the MPC maintained the policy repo rate at 5.5% unanimously, citing a significant moderation in headline inflation as a reason for this decision [1][6]. - The RBI revised the inflation target for the current financial year to 2.6%, down from earlier projections of 3.1%, indicating a trend of decreasing inflation expectations [6]. Group 2: Economic Forecasts and Expectations - A poll of 20 economists indicated that 12 expect the RBI to cut the key rate by 25 basis points to 5.25% in the upcoming meeting, while the remaining eight anticipate the rate will remain unchanged [2][6]. - The central bank has previously cut the rate by 100 basis points to 5.50% since February and has maintained this pause since August, reflecting a cautious approach to monetary policy [6]. Group 3: Interest Rate Trends - Rates on outstanding loans have decreased by 54 basis points, while rates on outstanding deposits have fallen by 20 basis points, indicating a broader trend of declining interest rates in the economy [6]. - Fresh loans have seen a reduction of 100 basis points, and fresh deposits have decreased by 89 basis points, further illustrating the impact of the RBI's monetary policy adjustments [6].