The upcoming RBI Policy Meeting 2025 has triggered intense anticipation across India’s financial markets as traders, investors, and economists prepare for one of the most crucial monetary reviews of the year. Scheduled for December 5, the meeting comes at a time when the rupee is hovering near record lows and bond yields continue to fluctuate due to a combination of external and domestic pressures.
Over the past week, the Indian rupee has faced selling pressure, closing at levels close to its historic lows against the US dollar. Global uncertainties, persistent foreign fund outflows, and cautious risk sentiment have contributed to the currency’s weakness. The RBI has been actively monitoring the situation but remains firm on its stance that stability, not aggressive intervention, remains its priority.
Bond markets also reflect a similar caution. Yields on benchmark government securities have risen slightly as traders await cues from the upcoming policy announcement. Market participants believe that the RBI Policy Meeting 2025 may maintain the repo rate unchanged but shift its stance to a more neutral or growth-supportive tone. Inflation is still within manageable levels, but global oil prices and currency volatility continue to pose risks.
Economists suggest that RBI’s key concerns will revolve around ensuring domestic growth momentum while containing external vulnerabilities. With India’s GDP growth surprising positively in Q3, there is room for policy confidence, but the central bank is expected to be cautious. A major point of discussion will be liquidity management, as banks continue to face uneven liquidity distribution across the system.
Traders and investors will also look for commentary on inflation expectations for early 2026. While food inflation has remained under control, rising fuel prices and imported inflation are potential threats. The RBI’s message on price stability will therefore be closely watched.
As the countdown to the RBI Policy Meeting 2025 begins, financial markets remain on edge. The outcomes will influence interest rates, EMI expectations, currency movement, and stock market sentiment. A strong, balanced message from the RBI could reassure investors and offer temporary relief to the rupee and bond markets.
