RBI Rate-Hike Cycle Likely to Start Early in December 2026

Morgan Stanley is a big bank that watches money and prices around the world.

It wrote a report about India's money.

In India, there is a special bank called the Reserve Bank of India.

That bank decides how much it costs to borrow money.

When borrowing costs more money, people buy fewer things and prices stop rising so fast.

Right now, prices in India are rising faster than the bank wants.

Morgan Stanley thinks the bank will raise its borrowing cost starting in December 2026.

It thinks this will happen sooner than people first thought.

The bank might raise the cost a few times until it reaches 6 per cent.

Morgan Stanley also says lots of money is coming into India from other countries, which is good for India's economy.