The Reserve Bank of India cautioned that an escalation in the West Asia conflict could derail the country's positive growth trajectory. The central bank assessed that the impact is likely to remain contained in the near term.
The Reserve Bank of India issued the warning in its assessment of economic conditions. It noted that while current effects from the conflict appear limited, further escalation poses risks to India's otherwise favorable outlook for the period ahead, including GDP projections for 2026-27.
