Respondents expect downward revision in FY26 inflation forecast
RBI set to lower inflation projection, but GDP growth estimate and policy stance may remain unchanged
India's 10-year benchmark bond yield, which fell to 6.13 per cent on June 6, closed at 6.31 per cent on July 15
Prices of oils and fats, for example, increased by over 17 per cent and may require policy attention
Vegetable and pulses prices see steepest fall in years; WPI turns negative too
Since the February 2025 MPC, the RBI has started to support growth by cutting policy rate
Ram Singh said lower inflation print than the forecast will strengthen the case for a rate cut
This (West Asia conflict) is just one of the sources of uncertainty, albeit the 800 pound gorilla at the moment
The domestic rate setting panel had cut policy repo rate by 50 basis points to5.5 per cent in the June meeting, higher than market expectation of 25 bps
Clearly, it is not for the RBI and its monetary policy committee (MPC) to fix any of these deep structural issues and magically create growth
After pandemic, this is the first time RBI has reduced policy repo rate by 50 bps to 5.5%
RBI Monetary Policy Committee maintained its GDP growth forecast for FY26 at 6.5%, lowered inflation forecast to 3.7%
With inflation easing and growth momentum weakening, RBI is widely expected to cut the repo rate by 25 bps to 5.75% at its June 6 MPC meeting, continuing its accommodative stance
RBI expected to lower inflation projection for FY26
Beyond growth-inflation dynamics, let's revisit moments when central bankers brought humour to the table
The Reserve Bank is likely to go for a third consecutive rate cut of 25 basis points on Friday as inflation continues to remain below the median target of 4 per cent, to push growth amid continued global uncertainty triggered by the US tariff moves. Reserve Bank's rate-setting panel Monetary Policy Committee (MPC) will start deliberations on the next bi-monthly monetary policy on June 4 and announce the decision on June 6 (Friday). The RBI reduced the key interest rate (repo) by 25 bps each in February and April bringing it to 6 per cent. Six-member MPC headed by RBI Governor Sanjay Malhotra also decided to change the stance from neutral to accommodative in its April policy. In response to the 50-bps cut in the policy repo rate since February 2025, most of the banks have reduced their repo-linked external benchmark based lending rates (EBLRs) and marginal cost of funds-based lending rate (MCLR). "We do believe that given the rather benign inflation conditions and the liquidity ...
The weighted average domestic term deposit rate (WADTDR) on fresh rupee term deposits of scheduled commercial banks stood at 6.65 per cent in March 2025
Kumar says that the impact of reciprocal tariffs imposed by the United States (US) is mixed and there is fiscal space to support public expenditure
The MPC decided to cut the policy repo rate by 25 basis points earlier this month, after reducing the rate by a similar magnitude in the February meeting
According to market participants, RIL may have bought between Rs 7,000 crore and Rs 10,000 crore worth of government bonds during the second week of April