.....That lends further support to the view that RBI is now looking at consumer price inflation, rather than wholesale price inflation, when deciding upon policy. During an interaction with analysts after the monetary policy statement on 20 September, Deputy Governor Urjit Patel said the central bank looked at multiple indicators, including WPI, CPI and CPI-IW, before arriving at a decision to hike the repo rate. But there are several reasons why CPI is likely to be the new governor’s favoured measure..........
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