RBI MPC Meeting 2026: The Reserve Bank of India (RBI) revised its inflation forecast upward to 5.1% for FY27 from 4.6% previously projected, with Q1 at 4.2%, Q2 at 5.1%, Q3 at 5.9%, and Q4 at 5.4%.
RBI Governor Sanjay Malhotra said core inflation is projected at 4.7% for the current financial year (2026-27), while cautioning that the outlook remains subject to several upside risks.
He noted that heightened global uncertainty, potential supply-chain disruptions, commodity price shocks, uncertainty surrounding the spatial and temporal distribution of the southwest monsoon, and the possibility of El Niño conditions pose risks to the inflation trajectory.
However, Malhotra said the central bank derives comfort from adequate foodgrain stocks and satisfactory reservoir levels, which are expected to help cushion any adverse impact on food prices and support overall inflation management.
