18 Sep 2026

RBI

Reserve Bank of India

India's central bank, with an inflation target of 4 % and a tolerance band of 2 to 6 %.

The Reserve Bank of India targets consumer price inflation of 4 % with a statutory band of two points either side. If inflation stays outside the band for three consecutive quarters the bank must explain itself to the government in writing, which is why 6 % is the threshold on India's inflation indicator here.

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