BofA expects RBI to hold rates, forecasts 50-bps hike from Dec

The Reserve Bank of India is expected to keep policy rates unchanged in the near term, BofA Securities said. However, the brokerage forecasts a cumulative 50-basis-point rate hike from December 2026 as domestic inflation risks, particularly weather-related factors, gain importance. It also raised its FY27 GDP growth estimate to 6.9% from 6.5%, citing stronger consumption and investment demand.