The Reserve Bank of India (RBI) has projected inflation for FY25 at 4.5%, but the central bank has also cautioned that risks remain skewed to the upside. During the October 2024 Monetary Policy Statement, Governor Shaktikanta Das highlighted that geopolitical risks and domestic weather-related shocks could add upward pressure on inflation.
Despite the projection, the RBI emphasized the need for vigilance in managing inflation expectations and keeping the inflation trajectory aligned with its medium-term target of 4%.
Disclaimer: The information provided is based on the latest updates from the RBI’s Monetary Policy Statement.
