India Likely to Retain 4% Inflation Target for Its Central Bank

India is likely to retain the existing inflation target for the central bank, with the setup seen as effective in managing prices, according to people familiar with the matter.

The Reserve Bank of India currently aims to keep inflation anchored around 4%, the mid-point of a 2%-6% range mandated by the government. The target for the central bank is set every five years and is due in March.