Inflation likely to be much lower than RBI projections in FY26 and FY27: SBI Report

SBI forecasts much lower inflation for the current and next financial years. Domestic factors like monsoon progress and GST rationalization support this outlook. RBI recently revised its FY26 inflation projection downwards. The central bank also increased its FY26 GDP growth estimate. The Monetary Policy Committee held policy rates steady. This decision keeps options open for future rate adjustments.