RBI MPC Prioritizes Growth, Members Push for Rate Cuts Amid Low Inflation

• RBI's MPC signals growth as a priority, with low inflation creating space for policy easing while maintaining a neutral stance.
• Governor Sanjay Malhotra, Saugata Bhattacharya, and Dr Nagesh Kumar voted for a 25-bps rate cut, citing benign inflation and the need to support demand.
• Inflation is "softer than expected," with core inflation low (2.5-3.4%) and FY2025-26 headline inflation projected around 2%.
• Real GDP growth is poised to exceed 7%, with strong domestic prospects, though some indicators suggest potential deceleration ahead.
• MPC members express growing comfort with easing conditions, emphasizing data-driven future policy decisions.

Why It Matters: RBI MPC leans towards growth support with potential rate cuts as inflation remains low and manageable.