In big relief for home, car and personal loan consumers, the Reserve Bank of India on Friday announced a more than expected 50 basis points or half a percent rate cut.

This is the third consecutive reduction in policy rates.

In addition, the central bank has also unexpectedly reduced the cash reserve ratio by 100 basis points or 1 per cent, which will bring additional liquidity in the banking system and will allow banks to venture more loans.

Watch to know more.

Video: PTI

Published on June 7, 2025

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