Reserve Bank of India: economy holds amid West Asia turmoil
According to the Reserve Bank of India's April bulletin, India's economy is holding up well even with all the turmoil in West Asia.
While energy and input costs have gone up (pushing inflation risks higher), inflation is still within the safe zone.
The report also noticed that demand stayed pretty strong in March 2026, though a few sectors did slow down.
Rural demand, EVs support activity
The article in the RBI's April Bulletin pointed out that rural areas and rising electric vehicle demand are helping keep domestic activity on track, softening the blow from falling trade with West Asia.
Even though trade with the region dropped by 54% in March, India's trade deficit actually hit a nine-month low thanks to more exports and fewer imports.
Bond yields and money markets are also looking better post-cease-fire, but there's a heads-up: if tensions rise again, energy costs and trade could take another hit.