Adequate response: on the RBI and inflation
The Reserve Bank of India (RBI) raised interest rates by 25 basis points to combat rising inflation. The RBI now forecasts retail inflation to reach 4.9% in Q2, up from 4.7% in August, and expects it to rise to 6% in Q3 before slightly decreasing to 5.7%. This decision highlights the need for Central assistance in addressing inflationary pressures.