Read on Twitter
#Inflation in #India
1. While general level at 4.3% for May is close to the target, it is closer to 5% for all sub-groups other than Food & Beverages (3.2% in May).
2. It implies that core inflation is now within the target range, though > target of 4%.
1. While general level at 4.3% for May is close to the target, it is closer to 5% for all sub-groups other than Food & Beverages (3.2% in May).
2. It implies that core inflation is now within the target range, though > target of 4%.
3. Groups where pricing power is with producer show higher inflation (health, education, clothing & footwear, personal care, etc.)
4. Inflation for transport & communications is low, as the gov. & telecom industry is not exercising their PP in view of elections, as reported.
4. Inflation for transport & communications is low, as the gov. & telecom industry is not exercising their PP in view of elections, as reported.
9. In short, core inflation is still ~5%, headline inflation may remain low if food prices remain low if govt. & telcos do not exercise pricing power in view of 2024 elections.
10. Come 2024, we may see an increase in inflation rate, if oil and commodity prices go up.
10. Come 2024, we may see an increase in inflation rate, if oil and commodity prices go up.
Let us see how @RBI and the GOI handle the situation, if the global commodity prices go up this year itself or INR depreciates.
@threadreaderapp unroll
• • •
Missing some Tweet in this thread? You can try to
force a refresh
