Headline consumer price inflation accelerated to a 15-month high of 7.4% y/y in July amid the surge in food price inflation. While the RBI expects the sharp increase in food prices to prove transitory, the lurking El Niño threat and potential second-round effects on core inflation through a rise in inflation expectations are key upside risks.
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