Moderate the pace of its monetary tightening: India Inc to RBI

With rising global risk aversion adversely impacting foreign capital inflows, the industry body stated that it poses challenges for financing India's current account deficit

India Inc has begun to feel the adverse impact of RBI’s interest rate hikes of 190 basis points in the current fiscal year, the Confederation of Indian Industry (CII) said on Sunday, as it urged the central bank to consider moderating the pace of its monetary tightening ahead of the forthcoming policy.

The industry body’s analysis of results of 2,000-odd companies in the second quarter (July-September 2022) shows that both the top-line and bottom-line has moderated on sequential and annual basis. Thus, moderation in pace of monetary tightening is the need of the hour, it argued. According to CII, domestic demand