Published: 19 February 2026RBI / PIBEconomy
RBI MPC Minutes (Feb 2026) Published: Repo Rate at 6.25% Held Unanimously; MSME Loan Limit Doubled
The Reserve Bank of India (RBI) published the minutes of the February 2026 Monetary Policy Committee (MPC) meeting on February 20, 2026. The minutes confirm that all six members voted unanimously to hold the repo rate at 6.25%, maintaining the accommodative withdrawal stance adopted in the previous meeting cycle.
The MPC minutes revealed that the committee upgraded India's GDP growth forecast for FY 2026-27 to 7.4%, citing robust manufacturing activity, strong services exports, and resilient domestic consumption. Inflation was projected to remain within the 4% ± 2% band, with the headline CPI expected to average 4.2% for the year, providing the committee room to hold rates without triggering demand-side price pressure.
In a significant developmental measure also highlighted in the minutes, the RBI announced the doubling of the collateral-free loan ceiling for Micro and Small Enterprises (MSEs) from ₹10 lakh to ₹20 lakh under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) scheme. This move is expected to improve credit access for approximately 2.5 crore small businesses across India that currently rely on informal credit markets due to lack of collateral.
The MPC noted that global headwinds — including elevated US interest rates, geopolitical tensions in West Asia, and commodity price volatility — remain risk factors. However, domestic macroeconomic fundamentals were described as strong enough to sustain the current policy stance. The next MPC meeting is scheduled for April 2026.
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Frequently asked questions
What was the repo rate decision in the RBI MPC February 2026 meeting and by what margin?
The **RBI MPC** voted **unanimously (6-0)** to hold the **repo rate at 6.25%** in its February 2026 meeting. The minutes were published on **February 20, 2026**. The committee maintained the **accommodative withdrawal stance**, citing stable inflation and strong GDP growth prospects.
What GDP growth forecast did the RBI MPC set for FY 2026-27?
The **RBI MPC** raised India's **GDP growth forecast for FY 2026-27 to 7.4%**, citing robust **manufacturing activity, strong services exports**, and **resilient domestic consumption**. Headline **CPI inflation** was projected at **4.2%** average for the year — within the RBI's 4% ± 2% mandate.
What is the CGTMSE scheme and how was the MSE loan limit changed?
**CGTMSE** (Credit Guarantee Fund Trust for Micro and Small Enterprises) provides **collateral-free credit guarantees** to MSE borrowers. In February 2026, the **RBI doubled the collateral-free loan ceiling from ₹10 lakh to ₹20 lakh**, aiming to benefit approximately **2.5 crore small businesses** that lack collateral and currently depend on informal credit markets.
What global risks did the RBI MPC cite in its February 2026 minutes?
The **RBI MPC** cited **elevated US interest rates, geopolitical tensions in West Asia**, and **commodity price volatility** as global risk factors. Despite these headwinds, the committee described **domestic macroeconomic fundamentals** as strong enough to maintain the current policy stance.
When is the next RBI MPC meeting after February 2026?
The next **RBI MPC meeting** is scheduled for **April 2026**. The February 2026 meeting held the repo rate at **6.25%** with a unanimous 6-0 vote, and upgraded India's GDP growth forecast to **7.4%** for FY 2026-27.
