New Delhi, June 3 -- India's economic growth is expected to slow significantly to 6.6 per cent in FY27 from an estimated 7.6 per cent in FY26, while headline consumer price inflation (CPI) is projected to average between 5.0 and 5.2 per cent, according to a research report by Yes Bank.

The report said inflation is likely to remain within the Reserve Bank of India's (RBI) tolerance band, but rising price pressures and slowing growth will pose challenges for policymakers. It expects the RBI to keep interest rates and its policy stance unchanged at the upcoming June meeting to assess the impact of recent price increases.

"Balance of risks remain crucial; our inflation estimates indicate headline CPI to average around 5.0-5.2 per cent while...