RBI MPC Flags Widening Inflationary Pressures; Two Members Oppose Hawkish Stance

RBI flags widening inflation risks, puts rate cuts on ice

RBI's Monetary Policy Committee raised the benchmark repo rate by 25 basis points to address rising inflation concerns. Governor Sanjay Malhotra indicated a generalisation of inflation, with many commodities exceeding 4% inflation. Deputy Governor Poonam Gupta highlighted the influence of external supply-side shocks on inflation projections. External members expressed concerns about the implications of an aggressive rate hike on economic growth.

Inflation risks overshadow 7.8% growth as MPC raises repo rate; majority favours calibrated tightening

Inflation risks overshadow 7.8% growth as MPC raises repo rate; majority favours calibrated tightening

RBI MPC flags widening inflationary pressures; two members oppose hawkish stance

RBI MPC raises rates amid widening inflation, with two external members opposing a tighter stance.

RBI Minutes Show Split Over Signal for More Rate Hikes

RBI MPC minutes signal rate hike or pause; 2 members oppose stance change

Nagesh Kumar and Ram Singh backed the 25-bps repo rate hike to 5.50%, but opposed shifting to calibrated tightening as the RBI flagged widening inflation risks.