Case for a prolonged pause on interest rates by RBI, say economists

But economists also say from now on minutes of the six-member Monetary Policy Committee meeting will make interesting reading

The latest inflation print may have surprised many, but the Reserve Bank of India (RBI) may still want to take it easy.

It is probably a prolonged pause for the central bank while a final interest rate cut could still be possible, say economists. 

Inflation based on the Consumer Price Index (CPI) rose to 5.2 per cent in December. A large chunk of that reading comprised of house price inflation and vegetable prices. House prices could be a fallout of a recent government wage revision, while vegetable prices are set for a fall.

As such, inflation may have peaked, economists say, or is