India's central bank has maintained its benchmark interest rate at 5.25% despite the Iran war increasing inflation risk. Consumer inflation rose for a fourth consecutive month to 3.21% in February, up from 2.75% in the previous month. The country's Chief Economic Advisor, V. Anantha Nageswaran, warned that India's growth forecast of 7.0%–7.4% for the financial year ending March 2027 could face significant risk due to rising energy costs and supply-chain disruptions linked to the Iran conflict. The conflict has disrupted the movement of goods through the Strait of Hormuz, causing energy and freight costs to rise.