Archive · 2 Oct 2025
RBI Awaits Tariff Clarity, Boosts Industry Financing
The Reserve Bank of India (RBI) is keeping its main interest rates the same while it waits to see how new US tariffs will affect India.
They've also increased their prediction for how much the Indian economy will grow this year but reduced the inflation forecast.
To help businesses, the RBI will allow banks to help finance company acquisitions.
They also raised the amount banks can lend against shares and for IPOs.
In an effort to make the Rupee a more global currency, RBI will allow Indian banks to lend to Bhutan, Nepal, and Sri Lanka so they can buy goods from India.
RBI held repo and reverse repo rates steady.
RBI revised economic growth estimates upwards to 6.8%.
RBI lowered inflation projections to 2.6%.
Banks can now finance acquisitions by Indian corporates.
RBI allows lending to other countries for Rupee use in trade.
- Who
- Reserve Bank of India (RBI)
- What
- Announced measures regarding US tariffs, financing and rupee usage
- When
- October 1
- Where
- India
- Why
- To ease financing, support the economy and promote the Rupee.
RBI
Indian Industry
US Tariffs Impact
RBI
Awaiting greater clarity on US tariffs impact.
Indian Industry
Potential negative impact to the economy
- Key Rate
- Unchanged
- Economic Growth Estimate
- Raised to 6.8%
- Inflation Projection
- Lowered to 2.6%
- Action
- Allows banks to finance acquisitions by Indian corporates.
- Lending Limit Increase
- Shares (Rs 1 crore), IPO (Rs 25 lakh)
- Rupee Internationalization
- Allows lending to Bhutan, Nepal, and Sri Lanka for Indian goods.
- US Tariffs Effect
- $44 billion of Indian exports
Sources
RBI Proposes Rupee Lending To Nepal, Bhutan, Sri Lanka To Boost Cross-Border Trade
RBI announces measures to help exporters
RBI’s New Announcements Reshape Banking Rules, What It Means For Banks, Businesses & You
RBI Introduces Major Changes: IPO Financing Limit Raised To ₹25 Lakh, Infrastructure Projects Boosted By Cheaper Lending
RBI to permit banks to fund merger & acquisition activity by Indian corporates
RBI to allow bank funding of corporate takeovers
RBI expands steps towards internationalisation of rupee with cross-border lending and new reference rates
RBI Introduces Foreign Exchange Management Norms To Facilitate Seamless Payments For Exporters
RBI plans to relax external commercial borrowing norms for India Inc
RBI rolls out measures to boost rupee’s role in cross-border trade
RBI policy statement an authoritative one towards market reforms: SBI Chairman
RBI mulls further measures to internationalise the Rupee
A raft to measures to promote rupee globalisation
RBI To Allow Banks To Fund M&As
