Food price uncertainties to weigh on inflation trajectory; RBI retains FY'25 forecast at 4.5%
The Hindu
RBI projects 4.5% inflation for 2024, citing food price uncertainties and geopolitical tensions as risks to watch.
The Reserve Bank of India (RBI) on April 5 said food price uncertainties continue to weigh on the inflation trajectory going forward, even as it retained 4.5% retail inflation projection for the current fiscal.
In its first bi-monthly monetary policy for current fiscal, the RBI said notwithstanding the cut in petrol and diesel prices in mid-March 2024, the recent uptick in crude oil prices needs to be closely monitored.
“Continuing geopolitical tensions also pose upside risk to commodity prices and supply chains,” RBI said. "Assuming a normal monsoon, CPI inflation for 2024-25 is projected at 4.5%," RBI governor Shaktikanta Das said.
RBI Monetary Policy updates | Policy repo rate unchanged at 6.5%; real GDP growth for FY25 projected at 7%
Although RBI retained the full year inflation projection, it tweaked the forecasts for the quarter. RBI forecast April-June quarter inflation at 4.9% and in September quarter at 3.8%.
For December and March quarters, inflation is projected at 4.6% and 4.7%, respectively. The RBI said that deflation in fuel is likely to deepen in the near term, following the cut in LPG prices in March.
The government last month announced a steep cut of ₹100 in cooking gas LPG prices to ease the financial burden on households. Also, public sector oil retailers cut petrol and diesel prices by ₹2/litre, ending a nearly two-year-long hiatus in rate revision.
Experts link Punjab's distress migration to economic stagnation and job mismatches, highlighting systemic failures in political leadership.
India's merchandise exports remain flat in February, with Commerce Secretary warning of a potential dip in March due to trade constraints.
Hard Rock International closes 10 outlets in India, including three cafes in Bengaluru, while Goa hotel remains open.
The booming market for artificial intelligence servers brought Taiwan's Foxconn a 24 percent jump in annual net profit, the company said
In a statement on its website, Adobe said it has in recent years streamlined its sign-up and cancellation processes and made them more transparent.
Stock markets recover as Sensex and Nifty bounce back following a three-day slump, driven by value-buying in blue-chip stocks.
U.S. President Donald Trump’s administration is set to receive a roughly $10 billion fee from investors in the recently completed deal to take control of TikTok’s U.S. business, the Wall Street Journal reported
Meta is planning sweeping layoffs that could affect 20% or more of the company, three sources familiar with the matter told Reuters
Learn how to choose the best personal loan lender by evaluating eligibility, interest rates, and borrowing experience.
Discover why pension planning is essential in modern India to ensure financial security and peace during retirement.
The U.S. has launched two investigations under Section 301 of the Trade Act of 1974 against India and other economies to examine practices that may be ‘unreasonable or discriminatory and burden or restrict U.S. commerce’. One probe examines whether countries, including India, are using excess manufacturing capacity to export to the U.S. in a manner that hurts American businesses, while another looks at whether countries have taken ‘sufficient steps’ to prohibit imports of goods produced with forced labour.
NHAI raises annual pass fee to ₹3,075 from April 1, 2026, streamlining toll payments for FASTag users.
The U.S. probes forced labour in global supply chains, scrutinizing China and India's exports, warns the Global Trade Research Initiative.