# India’s rate hike unlikely to stem outflows, leaving central bank in a bind

https://mins.news/en/item/91290

- Reuters, 2026-10-08 11:45 UTC
- Economy
- Original: https://www.reuters.com/world/india/india-rate-hike-will-not-stem-outflows-leaving-central-bank-bind-2026-10-08/?link_source=ta_bluesky_link&taid=6ac782487858580001464bfd

> India’s first rate increase in four years is unlikely to curb or reverse record capital outflows. In a hostile global environment, the central bank is grappling with a cycle in which a weaker currency fuels higher inflation.

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