The international financial system will face a crisis if the Fed and other central banks fall behind the curve on inflation and tighten abruptly, says former IMF chief economist. Read more »
A savings instrument offering 12% tax-free yield over a 10-year period can trigger the virtuous circle of growth, curtail inflation and create jobs. Read more »
While several central banks including the Federal Reserve have started acting on inflation, the RBI seems to be worried about the possible fallout on post-Covid economic recovery. Read more »
High wholesale inflation will reflect in consumer prices in coming months, prompting RBI to revise its policy rates and monetary stance. Read more »
The RBI has come up with an unconvincing forecast that inflation will cool down to 5.3% in the current financial year before easing to 4-4.3% by the end of the next. Read more »
RBI’s monetary policy committee may choose to ignore falling credit off-take, especially the share of private corporate sector. Read more »
Policy rate cuts may not address inflation as a large part of the increase in prices during the second wave of Covid-19 came from rising commodity prices. Read more »
Good news on the indirect tax collection front was eclipsed by a 3.6% contraction in IIP, and 5.52% higher retail inflation. Read more »
A potential increase in country risk premia and pressure on domestic yields caused by the US stimulus could tighten domestic financial conditions. Read more »
Tweaking of weights in inflation indices makes sense, given the policy objectives of RBI policy – price stability and economic growth. Read more »