This marked the first rate reduction from the central bank in almost five years and this decision will translate into reduced borrowing costs and potentially help homemakers, experts explained.

The repo rate, set by the RBI, influences borrowing costs for banks. A higher repo rate raises FD interest rates, attracting deposits, while a lower rate reduces FD returns by making borrowing cheaper.

A week after the 2025 Union Budget introduced an exemptive, new tax regime, India’s middle-class has another reason to celebrate: the first repo-rate cut in five years.The Reserve Bank of India (RBI) has announced a 0.