India Rate-Setters Say Inflation Outlook Overtaken by War
NDTV
A chorus is growing among monetary policy officials that the RBI's outlook on inflation and growth is being overtaken by events.
A chorus is growing among Indian monetary policy officials that the central bank's outlook on inflation and growth is being overtaken by events, including the war in Ukraine, signaling a change of course is likely at its next meeting in April.
Shashanka Bhide, an external member in the six-member Monetary Policy Committee, is the latest rate-setter to say that the Reserve Bank of India's February predictions would need to be revised given the war-induced surge in energy and food prices and the threat to global economic growth.
“The conditions what we see now are quite different from what we saw at the beginning of February,” Bhide said in an interview Friday. “The projections will have to take into account the changed scenario.”
Bhide's comments follow similar statements from his MPC colleagues Jayanth Rama Varma, Ashima Goyal, and Michael Patra, who last week said the projections would require a “thorough re-assessment” at their meeting early next month.
