A sharp rise in inflation over recent months, and a jump in household inflation expectations, has raised concerns that the RBI has fallen behind the curve and is squandering its hard-won inflation-fighting credentials. By contrast, we see the RBI’s decision to respond with a rate hike this month as evidence of a disciplined approach that should ensure inflation doesn’t rise too much further.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.