RBI wants inflation elephant in the forest. Can pricier oil bring it back?

After witnessing sustained moderation, cost push pressures faced by firms, the RBI said, are showing upward bias

The Reserve Bank of India (RBI) on Friday maintained a status quo on rates for the seventh consecutive time and said it remains watchful of the developing geopolitical situation that may trigger a further rise in crude oil prices, thereby impacting the inflation trajectory in the country.

After sustained moderation, cost-push pressures faced by firms are showing upward bias, said the RBI. Geopolitical tensions and volatility in financial markets also pose risks to the inflation outlook, it said.

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“Two years ago,