The Reserve Bank of India (RBI) raised the policy repo rate by 25 basis points to 5.50% following the 63rd meeting of the Monetary Policy Committee (MPC) held from 5 to 7 October 2026. Chaired by Governor Sanjay Malhotra, the MPC revised its policy stance to 'calibrated tightening' after assessing evolving domestic and global macroeconomic and financial conditions. The decision reflects the central bank's continued focus on anchoring inflation expectations while supporting growth.
What was the RBI's repo rate decision in October 2026?
The Monetary Policy Committee increased the repo rate to 5.50% and changed the policy stance to calibrated tightening during its 63rd meeting held from 5 to 7 October 2026.
In a parallel development, the Securities and Exchange Board of India (SEBI) notified the Securities and Exchange Board of India (Settlement of Administrative and Civil Proceedings) Regulations, 2026. The new framework establishes a structured mechanism for the settlement of administrative and civil proceedings under securities laws, providing regulated entities with a formal route to resolve regulatory actions without protracted adjudication.
The Ministry of Finance, on 5 October 2026, retained the interest rate for the Special Deposit Scheme for Non-Government Provident, Superannuation and Gratuity Funds at 7.1% for the quarter ending December 2026. The rate remains unchanged from the previous quarter, offering stability to subscribers of the scheme.
Cabinet Approves Dearness Allowance Hike
On 28 October 2026, the Union Cabinet, chaired by Prime Minister Narendra Modi, approved an additional 3% increase in Dearness Allowance (DA) for central government employees and Dearness Relief (DR) for pensioners. The enhancement raises the rate from 60% to 63% of basic pay or pension, effective from 1 July 2026. The decision benefits a significant portion of the central government workforce and pensioner community.
Supreme Court Administrative Reforms
The Supreme Court implemented a revised system for sequencing matters in the daily cause list, effective 9 October 2026. Under the new arrangement, matters are organised into Part A, comprising fresh and early-hearing matters, and Part B, comprising after-notice matters. The reform followed persistent representations by the Supreme Court Bar Association (SCBA) dated 12 August 2025, 15 February 2026, 25 August 2026, and 7 September 2026.
Concurrently, the SCBA announced through a circular dated 9 October 2026 that the Supreme Court has agreed to establish a new state-of-the-art medical facility near D-Block within the court premises. The facility will feature upgraded infrastructure and additional medical services for the benefit of Bar members.
SEBI Amends LODR and InvIT Regulations
On 12 October 2026, SEBI notified the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) (Third Amendment) Regulations, 2026. The amendment revises Regulation 62-A of the LODR Regulations, 2015, rationalising the mandatory listing requirement for non-convertible debt securities (NCDs).
On the same date, SEBI amended the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014. The amendments permit the issuance of Depository Receipts by InvITs and revise unitholder approval thresholds, aligning the framework with evolving market practices.
Bar Council of India Releases AIBE-XXII Syllabus
The Bar Council of India Trust published the syllabus for the All India Bar Examination (AIBE)-XXII on 13 October 2026. The examination will comprise 100 questions distributed across 19 legal subjects. Constitutional Law, the Code of Civil Procedure (CPC), and Criminal Procedure carry the highest allocation of 10 questions each, indicating their continued primacy in the assessment of entry-level competence for advocates.
Authority | Action | Key Detail | Date |
|---|---|---|---|
Reserve Bank of India | Repo Rate Hike | Increased to 5.50%; stance changed to calibrated tightening | 7 October 2026 |
Ministry of Finance | Special Deposit Scheme | Interest rate retained at 7.1% for Oct-Dec 2026 quarter | 5 October 2026 |
Union Cabinet | Dearness Allowance/Relief | Hiked by 3% to 63% of basic pay/pension | 28 October 2026 |
SEBI | Settlement Regulations | Notified new framework for administrative and civil proceedings | October 2026 |
SEBI | LODR Amendment | Rationalised mandatory listing for NCDs (Regulation 62-A) | 12 October 2026 |
SEBI | InvIT Amendment | Permitted Depository Receipts; revised unitholder approval thresholds | 12 October 2026 |
Supreme Court | Cause List Sequencing | Part A (fresh/early-hearing); Part B (after-notice) | 9 October 2026 |
Bar Council of India | AIBE-XXII Syllabus | 100 questions across 19 subjects; Constitutional Law, CPC, CrPC weighted highest | 13 October 2026 |
The legislative and regulatory landscape in October 2026 reflected a mix of monetary tightening, securities law reforms, administrative decisions affecting government employees, and procedural reforms within the higher judiciary. These developments collectively signal a continued emphasis on regulatory efficiency, fiscal discipline, and institutional modernisation across key sectors of the Indian legal and economic framework.