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RBI may tweak inflation target if growth holds steady and shocks linger longer
Economy
Published on 5 May 2026
Could RBI tighten the target only if
RBI Deputy Governor Poonam Gupta said India could consider lowering its inflation target and narrowing the tolerance band, but only if robust growth and stable inflation persist over the next five years. Still, ongoing global shocks might force the central bank to keep the current flexibility. The final call will follow changing economic conditions.
- RBI DG Poonam Gupta hinted at a possible lower inflation target
- Any move would depend on robust growth and stable inflation for five years
- Global shocks could keep the current flexible framework intact
- Final decision will hinge on evolving economic data
Read the full story at The Economic Times
This summarization was done by Beige for a story published on 
The Economic Times