The Reserve Bank of India (RBI) has reaffirmed its real GDP growth projection for FY27 at 6.6%, demonstrating confidence in the domestic economy despite rising geopolitical uncertainties and high commodity prices. During the Monetary Policy Committee (MPC) meeting held from June 3 to June 5, RBI Governor Sanjay Malhotra highlighted that the economy has shown resilience, with private consumption and investment remaining robust. The MPC decided to maintain the repo rate at 5.25%, reflecting a neutral policy stance. The RBI anticipates that urban consumption will benefit from stable employment and government measures aimed at supporting micro, small, and medium enterprises (MSMEs). However, the central bank warned that external pressures, including elevated energy prices and ongoing supply disruptions, could pose challenges. Additionally, the RBI expressed concerns about the potential impact of a deficient monsoon on agricultural output and rural demand, while also noting that global demand fluctuations could affect merchandise exports. Despite these risks, the RBI remains optimistic about the Indian economy's ability to navigate through these uncertainties.