India's Economy Resilient but Pressured: Rising Inflation, Trade Deficit, and a Weakening Rupee

India’s retail inflation hit 4.45% in July, marking the ninth consecutive monthly rise, with food prices (up 5.52%) doing the heavy lifting. Rural India is feeling it harder, with food inflation at 5.79%, while urban areas saw a slightly lower rate. The RBI is watching closely, and some analysts now expect a rate hike later this year.

Growth Projections Face Headwinds

India Ratings projects FY27 GDP growth to slow to 6.8%, down from last year's...