Standard Chartered Predicts Two Rate Hikes by RBI in FY27

Standard Chartered strategists Anubhuti Sahay and Saurav Anand anticipate that the Reserve Bank of India (RBI) will raise its repo rate by a total of 50 basis points during fiscal year 2027. According to FX Street, these hikes are expected to be split between October and December 2026.

This outlook is reportedly driven by resilient economic activity and hawkish signals from the RBI’s Monetary Policy Committee (MPC) minutes released in August. The MPC’s stance suggests a continued focus on curbing inflationary pressures while supporting growth.

For Japanese investors and market participants, these developments in India’s monetary policy may influence regional capital flows and currency movements, especially given India’s growing role in Asia’s economic landscape.