RBI's Long-Term Focus on Inflation

RBI Governor Shaktikanta Das stated that interest rate decisions will be based on the long-term inflation outlook rather than monthly data. The Monetary Policy Committee (MPC) will convene from October 7 to 9. The RBI has kept the repo rate steady at 6.5% amid food inflation risks while focusing on future inflation and growth.

RBI Governor Shaktikanta Das has emphasized that the decision on moderating interest rates will hinge on the long-term inflation outlook, rather than monthly data trends.

The RBI's Monetary Policy Committee (MPC) is set to meet between October 7 and 9 to decide on interest rate moves. The repo rate has stayed at 6.5% for nine consecutive times to counter higher food inflation. In an interview with CNBC International, Das noted that future inflation trajectories would be closely monitored.

Das also highlighted that the rupee has remained stable against the US dollar, and maintained that excessive volatility would not benefit the economy. He reaffirmed the RBI's commitment to financial stability.

(With inputs from agencies.)