RBI governor Sanjay Malhotra announced a 25 basis points cut in the benchmark repo rate to 6.25%, the first reduction in five years.

The Reserve Bank of India's (RBI) six-member Monetary Policy Committee (MPC) cut the repo rate by 25 basis points to 6.25% on Friday. This is the first time in five years that the RBI has lowered the rate at which it lends to banks.

The RBI cut the repo rate by 25 basis points to 6.25%, its first rate cut in nearly five years. What does it mean for you.