India’s inflation risks rise on supply-side disruptions, RBI says
MUMBAI, April 23 (Reuters) – India’s inflation risks have increased, driven by supply-side disruptions including the Iran war and weather-related uncertainties, the RBI (Reserve Bank Of India) said in its monthly economic report released on Thursday. Here are the details: If the West Asia conflict persists and supply chains are not restored early, that may create challenges to the domestic economy Strong macro fundamentals should help the economy withstand shocks Inflation may have been contained within the tolerance band, but upside risks have increased, driven by supply-side disruptions including weather-related uncertainties Possible second-round effects with the supply shock transforming itself