New Delhi, Feb. 13 -- The revision in the Consumer Price Index (CPI) base year has had a limited impact on monetary policy interpretation, and the Reserve Bank of India (RBI) is expected to maintain the status quo on interest rates in the coming quarters, according to a report by Union Bank of India.
The report stated, "India: Jan'26 headline CPI rises to 2.75 per cent as expected on base revision while core CPI dip to 3.46 per cent provides solace; we maintain MPC view of status quo on rates."
It noted that the base revision has limited impact on near-term policy interpretation, as the MPC may choose to closely watch for trends in the coming trends with a deeper focus on inflation momentum and not just YoY levels.
The report added, "W...
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