RBI Holds Rates Unanimously as H2 Inflation Forecast Rises to 5.65%
Updated
Updated · The Indian Express · Jul 20
RBI Holds Rates Unanimously as H2 Inflation Forecast Rises to 5.65%
2 articles · Updated · The Indian Express · Jul 20
Summary
RBI’s Monetary Policy Committee left interest rates unchanged in a unanimous vote and kept its policy stance neutral despite projecting firmer inflation later this year.
The central bank sees inflation averaging 5.65% in the second half, up from 4.65% in the first half, even as it maintains a relatively optimistic growth view.
That mismatch has raised questions about policy clarity, with risks to prices still tied to West Asia tensions and uncertainty over the monsoon season.
Governor Sanjay Malhotra has also signaled RBI may look through temporary supply-driven price pressures, suggesting growth support remains a key consideration alongside price stability.