What's Keeping Inflation Down? RBI Explains What's Driving The Lows

In an exclusive interview with NDTV, RBI Governor Sanjay Malhotra described the Indian economy as being in a "Goldilocks phase," with strong growth and manageable inflation. Addressing questions on whether low inflation reflects the ideal scenario, the Governor said current inflation levels are largely driven by supply-side factors, including lower food prices, base effects, and subdued global commodity prices. He noted that inflation is expected to rise gradually as base effects fade, with RBI projections placing it closer to the target range in coming quarters, adding that the central bank remains comfortable with the inflation trajectory.