RBI MPC Policy, Feb. 6 -- The Reserve Bank of India (RBI) revised inflation forecast upward to 2.1% for 2025-2026 from 2% that was earlier projected with Q4 at 3.2%. Consumer Price Index (CPI) inflation for Q1 of 2026-27 is projected at 4%, and Q2 at .24%. The risks are evenly balanced, said Governor of the RBI, Sanjay Malhotra today.

Sanjay Malhotra stated today that the headline CPI inflation stayed low in November and December, despite a rise of one percentage point during these two months. This increase was primarily influenced by a decrease in the rate of deflation for food crops excluding gold, resulting in a stable inflation rate of 2.6% in December.

Sanjay Malhotra suggests that the short-term outlook for food supply appears pro...