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

Below the Quote on MPC by Mr. Sarvjit Singh Samra, MD & CEO of Capital Small Finance Bank
“The RBI’s decision to reduce the repo rate by 25 bps to 6.00% in its first monetary policy of FY25-26, along with a shift in stance to ‘accommodative’ reflects a strong and timely commitment to supporting economic growth. This policy move comes against the backdrop of a strengthening demand recovery and inflation staying firmly aligned with the 4% target reinforced by a consistent easing in food inflation. For the banking sector this marks a significant tailwind, as lower funding costs and improved credit transmission are likely to boost lending activity. For Small Finance Banks, this presents a strong opportunity to scale up lending, backed by rising credit demand and a supportive interest rate environment.
At Capital Small Finance Bank, we see this as a timely catalyst to drive broad-based economic momentum and accelerate credit growth particularly in MSME, Agriculture, and affordable mortgage segments across semi-urban and rural (SURU) regions—furthering our mission of deeper financial penetration and fast paced sustainable growth and expansion.”
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