Bullish news realized, waiting for the bull market returnees #成长值抽奖赢iPhone17和周边 $BTC The Reserve Bank of India announced an interest rate cut today (December 5, 2025), lowering the benchmark repo rate by 25 basis points to 5.25%. This is the first rate cut in six months and the fourth rate cut in 2025.

📉 1. Core Details of the Rate Cut
1. Interest Rate Adjustment
- The benchmark repo rate was reduced from 5.50% to 5.25%, with a “neutral” policy stance.
- The cumulative rate cut in 2025 reaches 125 basis points (including this time).

2. Decision Background
- Persistently Low Inflation: October inflation rate fell to 0.25% (historic low), mainly driven by declining food prices.
- Resilient Economic Growth: Q3 GDP grew 8.2% year-on-year (a six-quarter high), but exports continue to decline due to the impact of US tariffs.

3. Supporting Measures
- Injecting liquidity into the banking system by purchasing 1 trillion rupees in government bonds;
- Conducting a $5 billion three-year USD swap operation (buying dollars, selling back after three years) to stabilize exchange rate expectations.

⚖️ 2. Challenges in Policy Balancing
The Reserve Bank of India needs to balance multiple objectives:
- Supporting the economy: Addressing the impact of 50% US tariffs on Indian goods and easing the pressure of widening trade deficits;
- Exchange rate risk: The rupee has fallen 5.5% against the US dollar this year, hitting a historic low (below 90 rupees to 1 dollar). The central bank has slowed forex intervention, tolerating moderate depreciation;
- Inflation outlook: The 2025-26 inflation forecast was lowered from 2.6% to 2%, while the GDP growth forecast was raised from 6.8% to 7.3%.

📈 3. Market Reaction and Outlook
- Rupee volatility: After the rate cut, the rupee briefly rebounded to 89.78 against the US dollar, then fell back to 89.92, continuing its downward trend for the year.
- Future policy: If US tariffs continue to exert pressure, the central bank may cut rates by another 25 basis points in February 2026.

💎 Summary
This rate cut is a key move by the Reserve Bank of India during the “low inflation + high growth” golden period, aiming to hedge against external risks (such as US tariffs) and boost domestic demand. However, rupee depreciation pressure and capital outflow risks still require ongoing attention. $GT ‌$ETH ‌