The Reserve Bank of India has kept the key repo rate unchanged at 5.5% after its latest three-day Monetary Policy Committee meeting chaired by Governor Sanjay Malhotra. The central bank has also maintained a neutral stance, signalling that it will continue to watch inflation and growth before making any major moves.

For homebuyers and those repaying loans, this decision brings relief and clarity. Let’s break down what it means in simple terms.

NO CHANGE IN EMIs FOR NOW

Since the repo rate—the rate at which banks borrow from the RBI—remains unchanged, banks are unlikely to increase lending rates immediately. This means EMIs on existing floating-rate home loans should largely stay the same.

People planning to take a new home loan may also find the current rates stable and manageable.

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