Economists at ING Groep NV anticipate the Reserve Bank of India (RBI) may cut its repo rate by 25 basis points to 5.25% next week. In a report, they noted that India's inflation has remained subdued, driven by declining food prices. Meanwhile, external headwinds are expected to dampen growth momentum in the coming quarters.

The ING team highlighted a sharp deterioration in India's export performance, with shipments to the U.S. plunging over 30% in September compared to July following the Trump administration's imposition of 50% tariffs.