Ashwini Shami, President & Chief Portfolio Officer – OmniScience Capital
The RBI’s decision to keep rates unchanged was largely in line with market expectations, given the prevailing inflation uncertainties and pressure on the rupee. The upward revision in the FY27 inflation forecast to 5.1% and the downward revision in GDP growth to 6.6% from 6.9% were also broadly anticipated, reflecting the impact of the prolonged West Asia conflict, supply chain disruptions, and higher commodity prices.
Despite these revisions, India remains one of the fastest-growing major economies globally, while the inflation outlook continues to stay within the RBI’s target range. For banks and financial services companies, the decision provides near-term clarity on interest rates, reducing uncertainty and supporting business growth, which should be viewed as a positive development.