Societe Generale strategist Kunal Kundu forecasts India’s headline consumer price index (CPI) inflation to reach approximately 4.1% year-on-year in June 2026. This projection indicates a modest increase from May 2026’s 3.9% inflation rate but remains comfortably within the Reserve Bank of India’s (RBI) tolerance band, according to FX Street.
The RBI’s inflation target range typically aims to maintain price stability while supporting economic growth, and this predicted inflation rate suggests continued monetary policy flexibility. Kundu’s outlook highlights a steady inflation trajectory for India over the coming year, which may influence RBI’s policy decisions.
For Japanese investors and market participants, monitoring India’s inflation trends is essential given the country’s growing importance in global trade and investment flows, especially in FX and equity markets.