Indian equity markets closed marginally higher on Wednesday as investors reacted to the Reserve Bank of India’s monetary policy decision to keep interest rates unchanged while raising its growth forecast and lowering inflation estimates.
The BSE Sensex gained 152.05 points, or 0.19 per cent, to close at 78,581.00, while the NSE Nifty 50 ended 9.75 points, or 0.04 per cent, higher at 24,624.65.
The RBI’s Monetary Policy Committee kept the repo rate unchanged at 5.25 per cent and retained its neutral stance. The central bank also upgraded its FY27 GDP growth projection and lowered its inflation forecast, citing the resilience of the domestic economy despite global uncertainties.
Vinod Nair, Head of Research at Geojit Investments Limited, said the RBI’s policy reflected confidence in India’s economic fundamentals.
“The RBI’s MPC has maintained the status quo while marginally upgrading FY27 GDP growth projection, citing a resilient domestic economy. Additionally, annual inflation estimates were lowered, indicating the governor’s optimistic view, though further policy action would depend on data,” he said.
However, gains remained capped as crude oil prices rose amid renewed concerns over tensions in West Asia. Brent crude climbed 1.68 per cent to USD 80.69 per barrel.
Among Asian markets, Japan’s Nikkei and South Korea’s KOSPI posted strong gains, while the Indian rupee strengthened 0.28 per cent against the US dollar to trade at 95.12.
