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RBI confident of sustaining inflation below 4% in FY26, signals scope for growth support

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The Reserve Bank of India is optimistic about reaching its inflation goal. Inflation fell below 4.0 per cent in February and March 2025. Food inflation saw a sharp decline. This allows monetary policy to support economic growth. Headline inflation averaged 4.6 per cent in 2024-25. The RBI will remain vigilant about potential risks.