The bulletin added that headline inflation has come off the December 2023 peak, however, food price pressures have been interrupting the ongoing disinflation process.
Comfortable foreign exchange reserves and a return of capital inflows are expected to contribute to stability in India’s foreign exchange market, according to a separate article in the bulletin
India Inflation Rbi News: The Reserve Bank of India predicts inflation stabilization in India. Retail inflation eased to 5.1% in January. There may be renewed pressures from cereals and proteins. Input cost outlook and selling prices of manufacturing firms should improve. The global economy is expected to exhibit stronger-than-expected growth. India s debt-to-GDP ratio is projected to drop to 73.4% by 2030-31.
According to the central bank s State of the Economy article, the likelihood of the global economy exhibiting stronger than expected growth in 2024 has brightened in recent months, with risks broadly balanced.