The Reserve Bank of India is very serious about the inflation rate and its focus is on bringing it down to 4%. The RBI Governor said that the prices of vegetables have now started coming down, which will prove helpful in bringing down inflation. He cautioned against relying only on past data. Let us tell you that India’s retail inflation rate in July 2023 has been 7.44 percent.
Reserve Bank of India (RBI) Governor Shaktikanta Das stressed the importance of a forward-looking monetary policy approach in his speech at the Delhi School of Economics Diamond Jubilee. He cautioned against relying only on past data. He said that monetary policy is like driving a car on a road with potential potholes and speed bumps. In other words, monetary policy has to be forward looking because the rear-view mirror can lead to policy errors.
RBI Governor Shaktikanta Das said supply shocks occur more frequently and have a deeper impact on inflation management. He said that the prices of vegetables have started decreasing. Now the focus of RBI is on bringing inflation to 4%. Let us tell you that India’s retail inflation rate in July 2023 has been 7.44 percent. Whereas, before that in June 2023, the retail inflation rate was only 4.81 percent.
RBI has taken important measures to control the rising inflation in recent years. RBI has increased the repo rate by 250 basis points from May 2022 in its efforts to tackle inflation. However, no change has been made in the repo rate in the last two MPC meetings.
India Retail Inflation Rate
- India’s retail inflation rate in July 2023 has been 7.44 percent.
- India’s retail inflation rate in June 2023 has been 4.81 percent.
- India’s retail inflation rate in May 2023 has been 4.25 percent.
- India’s retail inflation rate in April 2023 was 4.7 percent.
- India’s retail inflation rate in March 2023 was 5.66 percent.
- India’s retail inflation rate in February 2023 was 6.4 percent.
- India’s retail inflation rate in January 2023 was 6.52 percent.
- The December 2022 retail inflation rate was 5.72 percent.
- The retail inflation rate in November 2022 was 5.88 percent.
- The inflation rate in October 2022 was 6.77 percent.
- The retail inflation rate in September 2022 was 7.41 percent.
