France's foreign exchange reserves fell to 381.30 billion euros in May from 386.90 billion euros in April, according to government data published Friday.
The total amount comprised 304.84 billion euros in gold reserves, 31.15 billion euros in foreign currency reserves, 38.85 billion euros in claims on the International Monetary Fund, and 6.46 billion euros in other reserve assets.
France's industrial production was up 0.1% month over month in April, following a revised 1.4% increase in the previous month, statistics agency Insee said Friday.Analysts expected a 0.2% decline for the month, according to Investing.com data.On a yearly basis, the index was up 2.9%.
France's trade deficit fell to 5.64 billion euros in April from the revised deficit of 6.41 billion euros in March, according to government data published Friday.Analysts expected a 6.5 billion-euro trade deficit for the month.Exports stood at 54.59 billion euros, compared with a revised 52.93 billion euros earlier, while imports rose to 60.23 billion euros from the revised 59.35 billion euros.
India's central bank left its benchmark repo rate unchanged and retained its neutral policy stance, while lowering its growth forecast and raising its inflation outlook as policymakers assessed the economic impact of the prolonged conflict in the Middle East.The Reserve Bank of India kept the repo rate at 5.25%, in line with forecasts, according to a Friday press release.The central bank lowered its real gross domestic product growth forecast for fiscal 2027 to 6.6% and raised its inflation projection to 5.1%."The adverse implications of the extended disruption in supply chains and elevated energy prices are reflected in the moderation of growth and increase in inflation projections from the April policy," the Monetary Policy Committee said.The RBI projected GDP growth of 6.6% in the first quarter, 6.3% in the second quarter, 6.5% in the third quarter, and 6.8% in the fourth quarter of fiscal 2027.While domestic demand has remained resilient, the central bank said the economic impact of the conflict is becoming increasingly visible."While the economy has withstood the conflict spillovers with limited impact so far, the strains are increasingly becoming visible," Governor Sanjay Malhotra said in his speech.The RBI said fuel prices have risen 7.4% for petrol and 8.4% for diesel since May, adding direct inflationary pressure and increasing the risk of broader pass-through from higher energy and commodity costs.For fiscal 2027, the central bank projected inflation at 4.2% in the first quarter, 5.1% in the second, 5.9% in the third, and 5.4% in the fourth.The central bank warned that the inflation outlook remains vulnerable to supply-chain disruptions, higher commodity prices, and a below-normal southwest monsoon forecast.The committee chose to leave rates unchanged despite rising inflation risks, citing uncertainty over the duration and economic impact of the conflict in the Middle East, the statement said."Although risks of higher inflation have amplified, the MPC felt it would be prudent to wait for greater clarity to emerge. Accordingly, the MPC voted to keep the policy rate unchanged," Malhotra said.He added that policymakers would remain vigilant to signs of supply-side pressures feeding into broader prices and inflation expectations.Economists said the Reserve Bank of India may still need to tighten policy later this year if higher fuel and commodity costs feed through more broadly into consumer prices."We expect 50 basis points of rate hike beginning in October," Upasna Bhardwaj, a senior economist at Kotak Mahindra Bank, was quoted as saying by Bloomberg News."However, the extent of pass-through of supply side pressures would not rule out August policy also being live," she added.