<h1>RBI monetary policy pause: repo rate held at 5.25% with neutral stance, citing low CPI inflation but noting FX-driven inflation risk</h1> RBI retained the repo rate at 5.25% and maintained a neutral monetary policy stance, pausing further rate cuts after cumulative reductions of 125 basis points since February 2025; this decision responds to persistent CPI inflation running below the 4%2% target band and recent low headline inflation readings. The pause recognises upside risks from a depreciating rupee, which raises import costs and may reverse disinflationary trends, signalling that future easing will depend on inflation dynamics and exchange rate developments. The operative effect is continuation of the existing policy rate and conditional guidance tying future action to inflation and FX risks.