‘Inflation seen under control even as gold & silver prices to remain firm’

New Delhi: Inflation is unlikely to pose a concern in the coming fiscal year even as gold and silver prices are expected to remain elevated due to strong safe-haven demand, the Economic Survey said on Thursday.

The Survey noted that the inflation outlook remains benign, supported by favourable supply-side con-ditions, robust agricultural output and stable global commodity prices, along with the gradual pass-through of GST rate rationalisation.

It added that inflation is projected to stay within the target range, aided by continued policy vigilance.However, it cautioned that risks from currency volatility, potential surges in base metal prices and per-sistent global uncertainties warrant close monitoring and flexible policy responses.

According to the Survey, prices of precious metals are likely to keep rising amid global uncertainties, unless durable peace emerges and trade tensions ease. It also said that India’s headline and core infla-tion, excluding precious metals, could be higher in FY27 compared with FY26, but not at worrying lev-els. Both the RBI and the IMF have projected a gradual in-crease in headline inflation while keeping it within the 4 per cent target band. The IMF estimates infla-tion at 2.8 per cent in FY26 and 4 per cent in FY27.