Persistent geopolitical tensions, elevated energy prices, fragile supply chains and unpredictable financial markets have compelled the Reserve Bank of India to continue its cautious monetary policy approach. Reflecting these concerns, the Monetary Policy Committee (MPC) has unanimously decided to keep the benchmark repo rate unchanged at 5.25% for the fourth consecutive policy review. The decision to continue the neutral policy stance reflects the central bank’s preference to wait for greater clarity on inflation and global developments before making its next move. A stronger US dollar, higher bond yields and fragile public finances in several major economies are cited as downside risks to global growth. The central bank also noted that services exports remained strong and merchandise exports had recovered.