GDP growth in the quarter ending December 2023 is 8.4%, almost two percentage points more than the 6.6% number predicted by a Bloomberg poll of economists
The Reserve Bank of India (RBI) has kept the policy rate unchanged for the sixth consecutive time, citing global uncertainty and the need to bring down retail inflation to 4%. The RBI expects GDP growth in the next financial year to be at 7%. The tone of the Monetary Policy Committee's resolution was hawkish, which suggests a delay in rate cuts. The RBI has prioritized inflation targeting over growth due to geopolitical risks and supply-side shocks to food inflation. Despite strong economic growth, the central bank remains cautious about inflation risks.