Page 24 - Latest Updates on Inflation
India's potential economic growth rate likely now at 7%, estimates Axis
An economy that's growing faster than its potential would generally result in bottlenecks in supply, causing inflation to accelerate and putting pressure on the central bank to hike interest rates
 "India's potential economic growth rate likely now at 7%, estimates Axis")
No plans to loosen rates, no complacency on inflation fight: RBI governor
Das said, "The primary objective of the monetary policy, as prescribed in the law, is ensuring price stability that's by maintaining inflation at 4% target for a durable time"
 "No plans to loosen rates, no complacency on inflation fight: RBI governor")
World food price index unchanged in November, says UN food agency
The Food and Agriculture Organization's (FAO) price index, which tracks the most globally traded food commodities, averaged 120.4 points in November, 10.7% lower than last November
 "World food price index unchanged in November, says UN food agency")
RBI monetary policy: 5 key announcements from the governor's speech today
RBI monetary policy: Central bank raised the UPI payment limits for hospitals and educational institutions to Rs 5 lakh from Rs 1 lakh per transaction
 "RBI monetary policy: 5 key announcements from the governor's speech today")
RBI MPC keeps repo rate unchanged at 6.5% for 5th straight policy review
The central bank raised the GDP growth forecast for FY24 to 7% from 6.5%
RBI MPC: Repo rate kept unchanged at 6.5%, FY24 GDP estimate hiked to 7%
RBI MPC: Reserve Bank's Monetary Policy Committee decides to keep the repo rate unchanged at 6.5% and also keeps the FY24 inflation forecast unchanged at 5.4%
 "RBI MPC: Repo rate kept unchanged at 6.5%, FY24 GDP estimate hiked to 7%")
RBI set to retain hawkish pause on interest rates; keep liquidity tight
The swap markets are signalling that the Indian central bank will begin cutting rates in the middle of 2024, at least a quarter after the U.S. Federal Reserve is expected to start loosening policy
 "RBI set to retain hawkish pause on interest rates; keep liquidity tight")
Govt bans sugarcane juice, syrup for ethanol making in 2023-24 supply year
The decision by the ministry comes in the backdrop of estimated fall in sugar production in 2023-24 marketing year (October-September)
 "Govt bans sugarcane juice, syrup for ethanol making in 2023-24 supply year")
Erratic rainfall, festive demand raised cost of veg thali 10% in November
The cost of a non-veg thali jumped 5% in November as compared to October: CRISIL's Roti Rice Rate index
 "Erratic rainfall, festive demand raised cost of veg thali 10% in November")
810 mn dependent on free foodgrains from govt due to inflation: Mayawati
Last month, the Central government extended the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) scheme to provide 5 kilograms of free foodgrains per month to 81.35 crore poor for another five years
 "810 mn dependent on free foodgrains from govt due to inflation: Mayawati")
Travellers may now be able to buy onions, atta at major metro stations
If the plan is successful in Delhi, it may also be extended to other cities with metro networks like Chennai, Mumbai and Bengaluru
 "Travellers may now be able to buy onions, atta at major metro stations")
India's services PMI falls to 56.9 in November, lowest in 2023 so far
S&P Global said that the slowdown in services PMI was mainly owing to a slowdown in new orders as well as output across sectors
 "India's services PMI falls to 56.9 in November, lowest in 2023 so far")
MPC likely to hold repo rate for fifth time in a row, shows BS poll
Likely to revise FY24 growth forecast upward
 "MPC likely to hold repo rate for fifth time in a row, shows BS poll")
RBI to retain 6.5% rate as growth comfortable, inflation in check: Experts
India retained the tag of world's fastest-growing major economy, with its GDP expanding by a faster-than-expected rate of 7.6% in Jul-Sep quarter on booster shots from govt spending and manufacturing
 "RBI to retain 6.5% rate as growth comfortable, inflation in check: Experts")
World economy will slow in 2024 because of inflation, high rates, war: OECD
The OECD foresees US inflation dropping from 3.9% this year to 2.8% in 2024 and 2.2% in 2025, just above the Fed's 2% target level
 "World economy will slow in 2024 because of inflation, high rates, war: OECD")
S&P Global, Morgan Stanley peg India's GDP growth at 6.4% in 2024
Those at Goldman Sachs, on the other hand, see the Indian economy growing a tad lower at 6.3 per cent in the year ahead.
 "S&P Global, Morgan Stanley peg India's GDP growth at 6.4% in 2024")
New Zealand National Party forms coalition government with two parties
Christopher Luxon will replace the outgoing Labour Prime Minister Chris Hipkins, who held the role for a mere nine months
 "New Zealand National Party forms coalition government with two parties")
Russian consumers find themselves in a bind as high inflation persists
Russia's Central Bank has raised its key lending rate four times this year to try to get inflation under control and stabilize the ruble's exchange rate
 "Russian consumers find themselves in a bind as high inflation persists")
Turkey's central bank hikes rates again to tame eye-watering inflation
However, the bank said its rate hikes would soon end
 "Turkey's central bank hikes rates again to tame eye-watering inflation")
UK PM Rishi Sunak promises tax cuts after meeting his inflation pledge
Under pressure from within his traditionally low-tax Conservative Party, Sunak said his govt needed to prioritise lowering the tax burden
 "UK PM Rishi Sunak promises tax cuts after meeting his inflation pledge")