What is the Reserve Bank of India's current inflation target?

The Reserve Bank of India's current inflation target is 4%, positioned at the midpoint of a 2%-6% range.

When will India's inflation target be reviewed?

India's inflation target is reviewed every five years and is due for reassessment in March.

Will India change its central bank's inflation goal?

Sources indicate that India is likely to retain its existing inflation target, as it has been effective in managing prices.

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India's RBI Inflation Target Stays Put

5 Jan

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Summary

India's central bank inflation target is set to remain at 4%.
The target is the mid-point of a 2%-6% range set by the government.
This inflation target is reviewed and set every five years.

India's Reserve Bank of India is poised to retain its existing inflation target, with sources indicating the current framework has been effective in managing national prices. The central bank's objective is to keep inflation anchored around 4%.

This 4% target is the mid-point of a broader 2%-6% range, which is mandated by the Indian government. The inflation target is established for a five-year period and is scheduled for its next review in March. Discussions within the finance ministry suggest the government is unlikely to alter this established target.

Officials in New Delhi, speaking anonymously as the discussions are private, confirmed the government's inclination to maintain the status quo. The Ministry of Finance has not yet provided an official comment on the matter, but the sentiment points towards continuity in the nation's monetary policy approach.