Asma Javed, Head - leasing, Navraj Group

For the first time since COVID-19 wreaked havoc on the world's economies, the Reserve Bank of India has made three consecutive cuts to the repo rate, indicating a significant turn toward growth resurgence. Governor Sanjay Malhotra left the FY26 GDP forecast gate at solid 6.5%, meaning the Reserve Bank anticipates the strength of India. Along with this, the inflation target was downgraded to 3.7% (downgraded from the 4%) due to anticipated benefits from the good monsoon. The dual benefit approach of the Reserve Bank of India in aggressively cutting rates while leaving growth expectations in tact, allows the new government to encourage increased investment while being confident of price stability. The Reserve Bank and the resultant cuts and interest rate cuts begun an earlier cycle in 2023, so to get out of the post-COVID-19 recovery phase without overheating the economy.