RBI Bulletin August 2025 Flags Trade Risks but Reaffirms Growth amid Benign Inflation and Rural Demand
SDG 8: Decent Work and Economic Growth
SDG 9: Industry, Innovation, and Infrastructure
Institutions: Reserve Bank of India | NITI Aayog
The RBI Bulletin August 2025 provides an assessment of Indiaβs economic conditions amidst global trade policy uncertainties and evolving macroeconomic developments. While services and manufacturing sectors show expansion, industrial activity and external trade reflect mixed momentum, with a widening merchandise trade deficit and robust services exports.
Headline inflation continues to moderate, reaching its lowest point since June 2017, mainly due to pronounced food price deflation and core inflation easing. The monetary policy remains neutral, with sustained surplus liquidity and transmission of rate cuts supporting benign financial conditions.
Given the ongoing global and domestic challenges, policy attention is required to address sector-specific growth disparities, resilience in external sector flows, and stable inflation expectations, with particular focus on rural demand and financial market conditions.
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