Even as the Reserve Bank of India’s Monetary Policy Committee (MPC) on Wednesday trimmed its inflation forecast, it flagged El Niño-driven risks to agriculture and rural demand, warning that a deficient and uneven southwest monsoon could cloud the domestic growth outlook despite government measures to cushion the impact.
Deficient and uneven south-west monsoon amidst El Niño conditions poses some risks to the agriculture sector’s outlook and rural demand, said RBI Governor Sanjay Malhotra.
