All eyes are on the RBI today as Governor Sanjay Malhotra prepares to announce the MPC's policy decision. Markets expect the central bank to hold rates steady, with the RBI's commentary likely to be closely watched.
ALSO READ: MPC Preview: RBI Seen Holding Rates As Inflation Risks Stay In Focus
Earlier, Governor Malhotra had said that policymakers would respond only if inflationary pressures become more broad-based rather than being driven by temporary supply shocks.
India's retail inflation rose to 4.38% in June, crossing the RBI's 4% target for the first time in 17 months, but is still within its 2%-6% tolerance band. Core inflation is close to 4%. The central bank expects inflation to average 5.1% in the current financial year.
"We think the best thing to do amid this volatility is nothing," Barclays Plc economist Aastha Gudwani wrote in a note cited by Bloomberg. Policymakers face an environment that is "no less challenging" than in June, supporting the case for the MPC to remain on pause, she said.
The RBI's policy review comes at a time when rising crude oil prices, driven by renewed tensions in the Middle East and disruptions around the Strait of Hormuz, have added to inflation concerns. While several central banks have eased monetary policy in recent months, the US Federal Reserve and the Bank of Japan have kept interest rates unchanged. If the RBI also opts for a pause, home loan EMIs, lending rates and deposit rates are unlikely to change immediately.
RBI MPC Meeting August 2026: Date And Time
Governor Sanjay Malhotra will announce the RBI's monetary policy decision and address the media at around 10 a.m. IST on Aug. 5. His press conference will follow after the conclusion of the central bank's three-day meeting, which began on Aug. 3.
What To Watch In RBI MPC Meeting
Repo rate decision
Inflation forecast
GDP growth outlook
Monetary policy stance
Governor Sanjay Malhotra's remarks
When And Where To Watch RBI MPC Decision Live?
The RBI's policy decision and Governor Sanjay Malhotra's address will be streamed live on the central bank's website and social media platforms. Live coverage, analysis and key takeaways will also be available on NDTV Profit's digital platforms and YouTube channel.
ALSO READ: Traders Bet RBI Hold, Cash Boost To Steepen India Yield Curve
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