Economists at Swiss brokerage Union Bank of Switzerland (UBS) Securities have cautioned the country faces additional upside risks from inflation, which is expected to average 5 per cent this year, following the surge in consumer price index (CPI) to 6.3 percent in May and wholesale inflation to the new high of 12.94 per cent. Rising costs of edible oils and protein-rich foods in May boosted retail inflation to a six-month high of 6.3 per cent, breaking RBI’s comfort zone and making interest rate cuts unlikely in the near term.