CPI New Series: Retail Inflation Hits 10-Month High at 3.2% in February 2026, Food Weight 36.75%

CPI Inflation Hits 4.8% (20-Month High), Raises Odds of RBI Rate Hike in October MPC Meet

August CPI inflation surged to a 20-month high of 4.8%, driven by food prices rising 5.7%. This increases the probability of an RBI rate hike in the October MPC meeting, especially with global central banks hiking rates and Brent crude above $100/barrel. For UPSC/Banking aspirants, this is a key data point linking inflation dynamics, monetary policy, and global spillovers.

India's July Retail Inflation Rises to 4.45%, RBI Holds Repo Rate at 5.25%

India's July retail inflation rose to 4.45%, the highest in 19 months, driven by food and transport costs. The RBI's MPC held the repo rate at 5.25% for the fourth consecutive meeting, balancing persistent supply-side inflation against weakening economic momentum. This is critical for exams as it tests your understanding of inflation dynamics, MPC decision-making, and the interplay between global disruptions (Ukraine-Russia) and domestic prices.

RBI Worried as Aug 2026 CPI Inflation Hits 8-Month High of 4.82%; Sugar & Chip Prices Surge

India's August 2026 retail inflation rose to 4.82% (8-month high), driven by a 24% YoY jump in sugar prices and rising memory chip costs ('chipflation'). This puts pressure on the RBI's Monetary Policy Committee to hike the repo rate for the first time in 3.5 years. For exam aspirants, this is a classic case of supply-shock inflation testing central bank credibility.

Global Agencies Upgrade India GDP Forecast to ~7%, RBI May Hike Repo Rate 25 bps as Inflation Pressures Build

Multiple global agencies (ADB, S&P, OECD, Moody's) have raised India's FY26 growth forecast to around 7%, driven by strong IIP, capex, and exports. However, inflation is expected to average 5.1% and the RBI may raise its policy rate by 25 bps, with farm sector risks from El Niño adding to uncertainty.

RBI Inflation Targeting at 10 Years: Flat Phillips Curve, Persistent Household Expectation Gap

India's decade-long inflation targeting framework shows limited effectiveness: a flat Phillips curve means rate hikes suppress output and employment without commensurate inflation reduction, while household expectations remain stubbornly above RBI's 4% target. This challenges the core assumption of the monetary policy framework.

RBI MPC Status Quo at 5.25% as CPI Inflation Rises to 4.8%, WPI at 9.92%

Retail inflation rose to 4.8% in August 2026, with food inflation at 5.95% and WPI at 9.92%. Broad-based price pressures strengthen the case for an RBI rate hike, despite the MPC keeping repo rate unchanged at 5.25% in August. This is critical for understanding monetary policy direction and the inflation targeting framework.

RBI Repo Rate 5.25%, Real Rate Nears Zero as Inflation at 4.82%

India's real policy rate is shrinking as inflation (4.82% in August) approaches the repo rate (5.25%), potentially hitting zero. With strong demand, high credit growth, and an external oil shock, the RBI faces a timing dilemma on rate action.

New GDP Series 2022-23: 5 Key Changes Including MGT-7 Classification, Gold Savings Doubling, and Rooftop Solar

India's new GDP series (base year 2022-23) introduces five lesser-known but impactful changes. Key reforms include splitting enterprise GVA by activity using MGT-7 forms, valuing government housing, lowering asset useful lives, shifting household savings data source to SEBI (doubling gold savings estimates), and including rooftop solar electricity. These changes improve GDP accuracy but require careful understanding for exam questions on methodology.