The Reserve Bank of India‘s bi-monthly Monetary Policy Committee (MPC) meeting will begin on June 3. The three-day meeting will conclude on June 5, with RBI Governor Sanjay Malhotra announcing the key policy decisions. Analysts expect the RBI to pause rather than a hike despite rising inflation risks from higher fuel prices, a depreciating rupee, and elevated global energy costs. Here’s why. RBI unlikely to hike rates to defend the rupee Nomura expects the RBI to opt for a hawkish pause, arguing that interest rates are not an effective tool to defend the currency; also their primary mandate is to control inflation and support economic growth, rather than target a specific exchange rate.