The Economic Times

RBI MPC Meeting 2026: Central bank flags a threat for Indian agriculture warming up in the Pacific

The RBI has flagged El Nio and an uneven southwest monsoon as key risks to agriculture, rural demand and the broader economy, despite cutting its FY27 inflation forecast to 5%. Governor Sanjay Malhotra said government measures, including climate-resilient crops, water conservation and adequate foodgrain stocks, should cushion the impact, though volatile crude prices and geopolitical tensions continue to pose inflation risks.