Expectations of a 50 bps rate cut in FY26: Garima Kapoor on RBI’s forward-looking policy

Economist Garima Kapoor anticipates a 50 basis point rate cut by the RBI in FY26, citing easing inflation and robust public capex. She highlights deregulation initiatives as unique, while noting risks from the external sector and potential impacts on rural demand. Kapoor believes the RBI is strategically holding its ground amid global uncertainties.