India’s macroeconomic indicators robust amid volatile mkts: RBI Guv

The MPC meeting, which was held from February 4 to 6, decided to leave the short-term lending rate (repo) unchanged at 5.25 per cent

- OUR CORRESPONDENT

India’s macroeconomic fundamentals over the medium-term remain healthy and robust amid volatile financial markets, said RBI Governor Sanjay Malhotra as all MPC members voted for status quo on policy rates at their meeting earlier this month.

According to the minutes of the Monetary Policy Committee (MPC) released by the Reserve Bank of India (RBI) on Friday, as most of the members, including the Governor, agreed that the current rate is “appropriate’, considering the current growth-inflation dynamics.

‘The MPC meeting, which was held from February 4 to 6, decided to leave the short-term lending rate (repo) unchanged at 5.25 per cent.

Despite escalating geopolitical tensions and increasing trade frictions posing huge challenges, global growth, supported by a surge in technology-related investments, conducive fiscal and monetary policies, and accommodative financial conditions, is expected to be marginally higher in 2026, minutes quoted Malhotra as saying.

Inflation outcomes may remain divergent across countries. Accordingly, central banks are likely to tread dissimilar policy paths while approaching the end of their easing cycles, he added.