According to deputy governor Michael Patra, the Reserve Bank of India (RBI) is optimistic that the necessary monetary policy actions would be more restrained than in the rest of the globe and there are signs that inflation is peaking.
When inflation rises beyond 6 percent, growth is unmistakably hampered according to Patra. Since core inflation measures are generalizing, monetary action is unquestionably necessary.
Patra was giving a speech at a gathering that the Ph.D. Chamber of Commerce and Industry had organized.
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