RBI puts Q3 rate hike in play if inflation risks flare up
India's Reserve Bank of India (RBI) indicated a potential policy rate hike in Q3 if inflation risks from rising food and fuel prices materialize. RBI Governor Sanjay Malhotra noted that inflation could peak at 5.9% in Q3 2026-27, with current projections at 5% for FY27. Policymakers will monitor inflation closely in the coming months.