The RBI maintained the policy rate at 5.50 per cent during its August meeting, following significant easing in the prior session. "Inflation will continue to remain benign even in FY27 and without a GST cut, it is tracking below 2 per cent in September and October. All these factors (GST, base revision) indicate that CPI inflation will remain around lower end of inflation target (4+2 per cent) for entire FY26 and FY27," the report highlighted. According to Ghosh, there is merit and rationale in going for a September rate cut. "This will but require calibrated communication by the RBI as post June, the bar for rate cut is indeed higher.