Exclusive: RBI Rate Hold To Support Housing Demand, Boost Container Glass Industry Confidence, Say Experts

The Reserve Bank of India’s decision to leave the repo rate unchanged at 5.25 percent and maintain status quo in its latest Monetary Policy Committee meeting today has been welcomed across sectors. Stakeholders in different sectors have viewed the move as a positive signal for economic stability.
Anshuman Magazine, Chairman & CEO-India, SE Asia, Middle East & Africa, CBRE told Times Now Digital, “predictable borrowing costs provide homebuyers the confidence to move ahead with long-deferred purchase decisions, while developers benefit from a stable financing environment that enables them to plan launches and investments with greater certainty. In that context, the RBI’s decision to hold the repo rate at 5.25% for a fourth straight time reflects a calibrated approach at a time when rising crude prices, food inflation and continued geopolitical uncertainty continue to demand prudence over policy activism. For real estate, rate stability is a positive signal heading into the festive season, which is typically the strongest period for housing demand in India. We expect this continuity to support healthy residential sales momentum through the second half of 2026, particularly in the mid and premium segments where affordability is closely tied to interest rate sentiment. Our commercial real estate fundamentals remain strong. Office demand is robust, warehousing and data centres continue to attract capital, and residential markets in key cities have sustained their momentum. The MPC still has a balancing act ahead; it must protect growth while staying watchful of inflation, which it says is likely to peak in the October-December quarter. Yet India’s underlying strengths-a strong investment pipeline and resilient domestic demand-give us reason for confidence heading into the second half of the year.”
Suraj Mehta, Chief Strategy Officer, Hindusthan National Glass & Industries Limited told Times Now Digital, “the RBI holding rates steady comes at a good time for the container glass industry. Demand from FMCG, beverages typically picks up sharply as the festive season approaches, and a stable interest rate environment gives our customers the confidence to plan inventories and launches without worrying about their borrowing costs going up. We expect that to translate into healthy order flows for glass packaging through the second half of the year. For manufacturers, fuel remains the bigger concern, with LPG availability still affected by the situation in West Asia. The RBI cannot fix supply-side energy pressures, but this fourth consecutive pause gives us policy stability at a time when geopolitical uncertainty is already weighing on input costs. For an energy-intensive industry like ours, a predictable rate environment makes it easier to plan capacity expansion, technology upgrades and long-term capital allocation, and lets us focus on operational efficiency and sustainable investment rather than second-guessing the cost of capital.”