India's CPI Inflation Expected to Reach 4.5% in FY27 Due to Rising Energy Costs: ICICI Bank Report

According to an ICICI Bank report, rising energy costs are expected to drive India's retail inflation to 4.5% in FY27, up from a previous projection of 3.9%. The Bank revised its Consumer Price Index (CPI) upward due to higher prices for petrol and diesel exerting more pressure on the consumer basket. The report noted that India's sensitivity to global oil fluctuations increased under the new series, with a price hike in petrol having twice the impact than before.