<h1>RBI Cuts Repo Rate by 25 Basis Points to 7.75%, Reduces Cash Reserve Ratio to Boost Economic Growth.</h1> The Reserve Bank of India announced a reduction in the policy repo rate by 25 basis points to 7.75% and adjusted related rates accordingly. The cash reserve ratio for banks was also reduced to inject liquidity into the banking system. These measures aim to address softened inflation, subdued economic growth, and tight liquidity conditions. Inflationary pressures have eased, but food inflation remains high. Economic growth has slowed, with investment and consumption demand declining. The bank revised GDP growth projections downward and highlighted risks like the current account deficit and global economic uncertainties. The focus remains on supporting growth while managing inflation and liquidity.