Decoding the ‘Goldilocks’ paradox: How RBI is managing inflation while supporting growth

In this episode of the State of the Economy podcast, businessline’s Hamsini Karthik speaks to Dr. Aurodeep Nandi, Indian economist and Vice president at Nomura, about India’s inflation data and how the RBI is navigating through these economic challenges. 

The conversation dives into the minutes of the RBI’s Monetary Policy Committee (MPC) meeting, where the they unanimously voted to maintain status quo. Nandi explains the MPC’s consensus regarding the inflation trajectory and the strategies to tackle it. They explore the interesting dynamics of food inflation, its impact on broader inflation expectations, and the RBI’s role in managing these challenges. The podcast goes on to emphasise that the RBI is focusing on maintaining a ‘Goldilocks macro situation’ – where inflation is under control, and growth remains stable

.The conversation extends to the RBI’s recent liquidity management strategies, including the sale of government securities to curb liquidity. He explains the intricacies of these moves and their implications on interest rates .Listen in to this conversation as they talk about concerns such as rising vegetable prices and the baseline projections for FY 2024.

(Host: Hamsini Karthik; Producer: Amitha Rajkumar, Siddharth Mathew Cherian)

About the State of the Economy podcast

India’s economy has been hailed as a bright spot amid the general gloom that seems to have enveloped the rest of the world. But several sectors continue to stutter even as others seem set to fire on all cylinders. To help you make sense of the bundle of contradictions that the country is, businessline brings you podcasts with experts ranging from finance and marketing to technology and start-ups.

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