The RBI MPC policy says: low inflation now, but don’t feel comfortable.

The Indian Reserve Bank expects that inflation will rise in the last quarter of the 26th fiscal year, so that it has completely reduced the general projection and maintained its fixed prices, noting the prices of food and fixed growth.

On Wednesday, the RBI Monetary Policy Committee reviewed inflation forecast in the fiscal year 26 to 3.1 % from 3.7 %, noting the facilitation of food prices. But the inflation is expected to rise to 4.4 % in the fourth quarter, driven by volatile vegetable prices, before violating a 4 % goal again in the 27th fiscal year by 4.9 %.

“Although the main inflation is much lower than expected earlier, it is mainly due to the prices of volatile food. It is expected that the inflation will rise from the last quarter of this fiscal year,” said Sanjay Malhotra, Governor of the Australian Reserve Bank.

The Central Bank maintained the rate of re -purchase of policy unchanged at 5.50 % and maintained its neutral position, which gave priority to supporting growth in trade in trade and the global certainty related to tariffs.

Retail enlargement was cooled to 2.10 % in June-the lowest level in 77 months-due to a sharp decrease in food prices. The basic inflation contract is fixed at 4 %, and the food enlargement record is negative.

The FY26 CPI’s CPI forecast expands 2.1 % in Q2, 3.1 % in Q3, and 4.4 % in the fourth quarter. MPC indicated that the risks remain “equally balanced.”

Although price pressures reduce, the Australian Reserve Bank warned that the high prices of global crude and commercial turmoil still affect inflation. The bank said in the July bulletin that the 10 % increase in global crude prices may raise the main inflation of India by 20 basis points.

The annual RBI report reported the dependency of the import of oil and seasonal change with the main risk of inflation, although it highlights the pressure of the display side and the main favorable effects as moderate factors.

The bank again confirmed its intention to manage liquidity to support the productive sectors and ensure the flow of credit while moving towards alternative energy sources to stabilize prices in the long term.