Demonetisation may cause inflation to fall under 4 %; here’s why

Standard

Demonetisation may cause inflation to fall under 4 %; here’s why

3-9.jpg

Even though demonetisation of high-value notes will impact consumption in the short run, it is expected to pull down retail inflation to below 4% in November reading from 4.2% in October, a senior finance ministry official said on Wednesday. He also said the move could give space to the monetary policy committee (MPC) to further cut interest rate in the coming months.

Besides hurting luxury…

View On WordPress

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s