The Reserve Bank of India (RBI) has kept its key policy rates on hold citing risks to inflation. On inflation data, Chief Economic Adviser Arvind Subramanian said 1.54 per cent is "historically" low and reflects the firm and ongoing consolidation of macro economic stability. The low inflation number as well as the latest IIP data, he said "is something that I am sure all policy makers will reflect upon very very carefully". The six-member Monetary Policy Committee of the RBI is slated to meet early next month to decide on interest rates. Inflation in overall food basket declined further to (-)2.12 per cent in June against (-)1.05 per cent in May.

Source: dna July 12, 2017 17:03 UTC