Inflation is moderating faster than foreseen, proves MPC's call right: RBI

The glide path should take inflation down to 5.7% in 2021-22; below 5% in 2022-23, and closer to 4% by 2023-24, said DG Patra

The Reserve Bank of India (RBI) on Thursday said the inflation trajectory is coming down faster than anticipated and the inflation print of 5.3 per cent in August has proven the monetary policy committee’s (MPC) move to look through May’s price shock as the right call.

The August consumer price index (CPI) inflation print came at 5.3 per cent, lower than what the RBI had predicted. The central bank had expected inflation at 5.9 per cent for the second quarter ended September, and 5.3 per cent for the third quarter ended December.

In the September bulletin, RBI has said the