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The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) has retained its growth projection for India's Gross Domestic Product (GDP) at 6.5% for the financial year 2025-26 (FY26), RBI Governor Sanjay Malhotra announced
on Wednesday, August 6.
Quarterly projections for FY26 were also left unchanged, with growth estimated at 6.5% for the first quarter, followed by 6.7% and 6.6% in the second and third quarters, respectively. Growth in the fourth quarter is projected at 6.3%. The RBI also released its estimate for the first quarter of FY27, projecting growth at 6.6%.
"Rural consumption remains resilient, services sector expected to remain buoyant, but industrial sector growth is subdued," the Guv said.
The central
bank lowered itsinflation forecast for the financial year to 3.1%, down from 3.7% earlier, citing a favourable base effect and healthy southwest monsoon.
On the policy front, the MPC decided to keep the key lending rate unchanged at 5.5% earlier. This pause comes after three consecutive rate cuts worth 100 basis points across February, April and June.
Catch live updates with CNBC-TV18.com's blog
Quarterly projections for FY26 were also left unchanged, with growth estimated at 6.5% for the first quarter, followed by 6.7% and 6.6% in the second and third quarters, respectively. Growth in the fourth quarter is projected at 6.3%. The RBI also released its estimate for the first quarter of FY27, projecting growth at 6.6%.
"Rural consumption remains resilient, services sector expected to remain buoyant, but industrial sector growth is subdued," the Guv said.
The central
On the policy front, the MPC decided to keep the key lending rate unchanged at 5.5% earlier. This pause comes after three consecutive rate cuts worth 100 basis points across February, April and June.
Catch live updates with CNBC-TV18.com's blog
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