Centre considers easing RBI's inflation target to help growth: Report

The current mandate, set in 2016, requires the RBI to keep headline inflation at the 4% midpoint of its target range.

The government is considering recommending a looser inflation target for the central bank, allowing it to focus more on economic growth despite price pressures, according to people familiar with the matter.
 

A consumer-price inflation band tracked by the Reserve Bank of India may be relaxed further from the current 2%-6% range, said the people, who asked not to be identified citing rules. The government still needs to hold consultations with the central bank before finalizing a new framework sometime next year.

The current mandate, set in 2016, requires the RBI to keep headline inflation at