- By Aditya Pratap Singh
- Thu, 04 Jun 2026 05:20 PM (IST)
- Source:JND
RBI Governor Sanjay Malhotra will announce the outcome of the bi-monthly three-day monetary policy committee meeting (RBI MPC) on Friday. Amid the rising inflation, uptick in trade deficit and volatility in the stock market due to elevated crude rates on uncertain geopolitical conditions, experts are weighing in a pause on rate change to tackle the current situation.
Earlier, State Bank of India chairman CS Setty said that the economic growth process will stabilise if the RBI opts for a status quo in policy rates. Economists and market leaders from other sectors also believe that a status quo would be fine amid inflation challenges.
Why Does Real Estate Seek Status Quo?
Echoing the same sentiment, industry experts and developers from the real estate sector believe that the repo rate should remain unchanged, as it would maintain sustainability for investment in the real estate sector.
"We anticipate the RBI is likely to keep the repo rate unchanged as stability is important for sustaining economic momentum and long-term investment confidence. Policy consistency has a major role in supporting investment decisions, project planning and overall market sentiment," said Mr Aman Sharma, Managing Director and Founder, Aarize Group.
According to Sharma, over the past few years, real estate has emerged as one of the most preferred asset classes.
"It is driven by strong end-user demand, rising aspirations for buyers and increasing interest from investors seeking stable and long-term returns," he added.
Anil Godara, Founder and Managing Director, J Estates, believes that a status quo in the repo rate keeps stability in borrowing cost.
"We expect the RBI to keep the repo rate unchanged, as stability in borrowing costs remains important for the real estate sector. A steady interest rate environment supports buyer confidence by ensuring greater predictability in home loan repayments, which is particularly important for end-user demand," Godara noted.
At a time when the housing market continues to witness healthy demand, maintaining the current rate cycle could help to sustain momentum across the real estate market and support the sector’s long-term growth trajectory, he said further.
Echoing the same sentiment, Ashish Agarwal, Director, AU Real Estate, said that at a time when global uncertainties and geopolitical tensions continue to impact economic sentiment, we expect the RBI to keep the repo rate stable.
"A steady interest rate environment provides much-needed clarity for long-term planning and investment decisions. Policy stability is important for managing inflation, as it helps to create confidence among developers, investors and buyers. For the real estate sector, stable borrowing costs are crucial in sustaining the demand momentum that the market has witnessed over the past few years," he highlighted.
Pushpender Singh, Managing Director, JMS Group, said, "As we head into the June MPC meeting, the RBI faces a delicate balance act between managing domestic inflation and navigating global economic ripples. As an expert, I expect a ‘hold’ strategy to prevail, providing a sense of continuity that the market currently craves.
"In the luxury segment, we’re seeing that high-end buyers remain largely unaffected by rate cycles, prioritising lifestyle and asset value above all else. Overall, we’re in a wait-and-watch stance; the market is resilient till now," he stated.