RBI confident of sustaining inflation below 4% in FY26, signals scope for growth support

The Reserve Bank of India is optimistic about reaching its inflation goal. Inflation fell below 4.0 per cent in February and March 2025. Food inflation saw a sharp decline. This allows monetary policy to support economic growth. Headline inflation averaged 4.6 per cent in 2024-25. The RBI will remain vigilant about potential risks.