NEW DELHI: The Reserve Bank of India's monetary policy committee (MPC) is anticipated to maintain the status quo on the repo rate in its October review, considering the positive impact of GST reforms on demand, stronger-than-expected Q1 FY26 GDP growth, and an inflation trajectory which is expected to slope upwards thereafter, a report said on Thursday.

The inflation trajectory remained lower due to GST rationalisation (FY2026 average now around 2.6 per cent).

The transmission of the past 100 bps rate cut is assessed as nearly complete for fresh deposits (-94 bps) but muted for outstanding deposits (-18 bps), ICRA said in its report.

Similarly, the Weighted Average Lending Rate for fresh loans declined by 60 bps, compared to a 42-bps easing for outstanding loans.

Further significant t

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