The Reserve Bank of India’s latest policy stance has drawn attention for its balanced approach, combining optimism on growth with caution on inflation and foreign exchange volatility. Analysts noted that the central bank’s projections, particularly for fiscal year 2027, appeared more optimistic than market expectations.

Speaking to ET Now, Anubhuti Sahay from Standard Chartered highlighted the growth outlook: “The MPC has projected 6.9% growth for FY27. We are at 6.4%. It looks optimistic, but RBI aims to stabilise market sentiment. Sharp downgrades are not typical for central banks, so a gradual adjustment was expected.”

On the tone of the policy, she said: “This is a very good, balanced policy. The MPC is on wait-and-watch mode, noting upside risks to inflation, downside risk to growth, and staying vigilant on FX volatility. The communication is clear and comforting for the markets.”

Addressing the impact of global energy supply and the war, Sahay said: “Two big ifs remain—the timeline of the war and its aftermath. Even if the war ends, energy prices could stay high if infrastructure is damaged. We can’t predict this precisely.”

On the realism of projections, she added: “The MPC has highlighted downside risks. Growth may be revised lower and inflation higher as clarity emerges, but the gradual approach supports market sentiment. Right now, growth is 6.4% and inflation 4.7%, and the direction indicated by the RBI remains key for markets.”

Analysts say that while the RBI’s growth projection may appear optimistic compared with market estimates, its cautious and measured communication provides reassurance to markets amidst ongoing global uncertainties.

In a policy announcement that was brief, concise, and directly addressed multiple concerns, the Reserve Bank of India (RBI) left markets with a clear sense of direction amidst global uncertainties. Speaking to ET Now about the key takeaways from the monetary policy, former RBI Deputy Governor R. Gandhi shared his insights on the tone and implications of the latest moves.

“The MPC’s assessment and the final decisions were all on expected lines. There is no surprise in terms of their assessment or the final action, so that is the first thing. What further information that we can derive out of MPC is the projection, so their forecast both on GDP and inflation—that is where the likely discussion is going to be among people in all the stakeholders, how to assimilate those changes vis-à-vis the earlier forecast. That is what a quick reaction that much,” Gandhi said.

The Monetary Policy Report (MPR) revealed an upward revision in crude oil price assumptions, from $75 to $85 per barrel, reflecting heightened uncertainty from the West Asia crisis. On navigating policy in such scenarios, Gandhi noted the RBI’s comprehensive approach.

“Obviously, the central banks having access to various data points. Their model is much-much larger in terms of parameters that are being watched and fed into the model. Whereas just now, as I mentioned, the analysts who have their own model, they will have a very quick assessment kind of. Because obviously being part of the policymaking hierarchy, they get access to all such parameters, that is one. And two, their research team is also very-very focused, longstanding, credentials in terms of expertise built over the period, so that way their assessment will always be more sanguine in terms of not volatility or their intention to keep the assessment slow, that is not the intention, that model itself brings out that kind of stability. So that is one point.”

Gandhi emphasized that markets need to assess their own stance based on their risk appetite but should remain mindful of the RBI’s proactive posture.

“So, what you are asking is that based on this, what the market should think about, how to reassess their own stance, their own actions based on this assessment, that is of course depending upon each entity’s risk appetite and risk-taking capacity—they may have a different view on that. But one thing what everyone should be clearly keeping in mind is that anything going to extreme, the pulse maker will always come in the way. Just as we have seen in the last two weeks when the rupee was quite volatile, and to bring in a sense of sanity, the Reserve Bank had to use certain tools which are harsh in normal course. Obviously, sometime when the restoration takes place, they will definitely be revisiting that and drawing those tools in operation. That is par for course that way. So that way, market should take cue from the strong message MPC and Governor Reserve Bank is telling—that we are watchful, we will be proactive, and we will be pre-emptive also. So, those are the three things always remember.”
Analysts see the RBI’s current stance as a stabilizing force for markets, signaling that while global shocks may persist, the central bank is prepared to act decisively to mitigate volatility and maintain economic equilibrium.

The fashion brand is planning to open 15 shops in Britain this year

Fashion brand Mango has opened a new store in Cheltenham, creating 10 jobs. The branch is based in the town’s Regent Arcade and sells clothing, footwear and accessories designed at the company’s Barcelona studio.

The opening of the 4,500 sq ft branch comes as the brand targets further international expansion, including in Britain. According to the business, the move is part of its 2024–2026 4Es Strategic Plan, which aims to drive sales growth.

It is understood the UK remains a priority growth market for Mango which said it was “on track” to open 500 new stores globally by the end of the year, including 15 in the UK.

Fiona Cullen, international regional director for the UK & Ireland, said: “Our new Woman store in Cheltenham is a confident step forward for Mango, building on the strong progress we have made over the last year to broaden the appeal of Mango to even more customers across the UK.

“Cheltenham is the perfect new home to introduce our Woman collection to customers in the Cotswolds, in a store format that truly represents the Mediterranean soul of our brand.”

Last year, Mango reported global turnover of €3.8bn – up 13 per cent year-on-year or 16 per cent at constant exchange rates. In the UK, Mango reported close to 20 per cent turnover driven by its strategy, it said.

At the end of 2025, Mango had over 100 points of sale across the UK, including standalone stores and concessions.

Mumbai: The Indian rupee climbed Tuesday, advancing for three days on the trot, to close at 92.98/$, reflecting the anticipated impact of unwinding of lenders’ positions in the overseas forwards markets ahead of a regulatory deadline that aimed to provide support for a unit that lost the most in 14 years last fiscal. The rupee advanced 9 paise from its previous close of 93.07/$. It traded Tuesday in a narrow range as dealers remained on edge about the US deadline to reach a deal with Iran.

The currency traded between 93.07/$ and 92.86/$ on Tuesday as dollar sales from unwinding of arbitrage positions were met with demand for the greenback from importers and oil companies.

“Central bank measures have helped stabilise volatility, but the underlying bias remains sensitive to global cues,” said Jateen Trivedi, VP research analyst, currency at LKP Securities.

The RBI measures – in two tranches – have come over the past 10 days curbing open postions for banks to $100 million and barring corporates from taking positions in the offshore market.

“The near-term range for the rupee is seen between 92.50/$ and 93.75/$, with RBI monetary policy this week acting as a key directional trigger,” Trivedi said.