RBI Governor Flags West Asia Conflict Risks to Global Economy

Reserve Bank of India Governor Sanjay Malhotra said the West Asia conflict continues to challenge the global economy by disrupting key trade routes, with renewed volatility in energy prices since early July. The central bank kept its policy rate unchanged at 5.25% with a neutral stance, citing supply-side pressures that have eased somewhat since June. Malhotra noted global conditions remain hostage to developments in the region.