RBI’s Latest Monetary Snapshot: Reserve Money Growth Slows, Currency Circulation Steady

The Reserve Bank of India (RBI) released its weekly monetary statistics, offering a glimpse into the evolving liquidity dynamics of the Indian economy. The data, published on November 6, 2025, reflects a deceleration in reserve money growth and a marginal dip in currency circulation expansion.

These indicators are crucial for assessing the central bank’s stance on monetary accommodation and the broader liquidity environment, especially ahead of key policy decisions.

Important points:

• Reserve money—which includes currency in circulation and bankers’ deposits with the RBI—grew 2.4% year-on-year as of October 31, 2025, compared to 7.7% growth in the same week last year.
• Currency in circulation rose 7.2% year-on-year, slightly below the 7.5% growth recorded a year ago.
• The moderation in reserve money growth may reflect tighter liquidity management or base effects from last year’s elevated expansion.
• These trends could influence short-term interest rates and RBI’s policy calibration in upcoming monetary reviews.

Sources: RBI Press Release, RBI Currency Circulation Data.