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Below the Quote on MPC by Mr. Sarvjit Singh Samra, MD & CEO, Capital Small Finance Bank 

“We appreciate the RBI’s consistent and calibrated approach to maintain the repo rate at 5.50% and providing systemic liquidity to support interest rate transmission. Given the significant 100 bps reduction earlier this year and inflation now projected at a comfortable 3.1%, this pause reflects a measured and forward-looking approach. From a macroeconomic lens, it signals confidence in the growth trajectory, with GDP expected to grow at 6.5% despite global headwinds, including recent US tariff actions. With consistent and proactive policy action, RBI is instilling  confidence in the medium- to long-term economic outlook.

From an SFB standpoint, this policy continuity provides a stable environment to support credit growth, especially across underserved and priority sectors. With adequate liquidity in the system and rates now more conducive, we anticipate stronger credit demand, particularly in MSMEs, affordable housing, and rural lending.

This stance reinforces the RBI’s commitment to balancing growth with financial stability, and we remain optimistic about the evolving lending landscape in the months ahead.”

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