The surge in February wholesale prices, published today, means that it is a near-certainty that India will raise policy rates by at least 50bps at the next monetary policy review on 20th April. The chance of an earlier hike remains significant as well. Food price pressures should ease in coming months but the strong economic upswing is squeezing spare capacity and is now lifting core inflation as well.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services