FMCG price hikes could rewrite India’s inflation story: Report

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Consumer goods companies' planned price hikes could pressure inflation despite the RBI's outlook. Elara Capital expects the Reserve Bank of India to maintain interest rates through 2026. A potential rate hike is possible in early 2027 if inflation pressures intensify. The central bank may overlook El Nino-led food inflation unless it becomes entrenched. Global central bank actions could influence the RBI's future policy decisions.