<p>Mumbai: India is not home-free with regards to the pressures of high prices but the moderation in retail inflation over the last two months is a relief, the Reserve Bank of India (RBI) said in its November bulletin published on Thursday.</p>.<p>"We are not out of the woods yet and have miles to go, but (inflation) readings of around 5% and 4.9 per cent in September and October, respectively, are a welcome relief from the average of 6.7 per cent in 2022-23 and 7.1 per cent in July-August 2023," the RBI said in its 'State of the Economy' article in the bulletin.</p>.<p>India's annual retail inflation eased to a four-month low of 4.87 per cent in October but remained above the RBI's 4 per cent target. The central bank expects inflation to average 5.4 per cent in 2023-24.</p>.RBI directs Bajaj Finance to stop sanction, disbursal of loans under eCOM, Insta EMI Card.<p>High-frequency food price data for this month up to November 13 indicates that cereal and pulse prices have increased further, while edible oil prices continued to decline, the RBI said.</p>.<p>India's growth continues to depend on domestic demand, which provides a cushion against external shocks, the RBI said.</p>.<p>The country's external sector has remained viable, with a modest current account deficit financed by resilient capital flows, one of the least volatile currencies in the world and a "healthy" level of foreign exchange reserves, it said.</p>.<p>India's economic growth has also picked up, the central bank said, noting the momentum of the change in gross domestic product is expected to be sequentially higher in October-December on the back of "ebullient" festival demand.</p>.<p>Investment demand also appears to be resilient given the government's infrastructure spending, an uptick in private capex and digitalisation, among other reasons, the central bank said.</p>.<p>The RBI also said the calibrated normalisation of surplus liquidity and robust credit growth strengthened transmission during the current tightening phase, although the transmission is still not complete.</p>.<p>The transmission of rates to term deposits has been robust, while savings deposit rates have exhibited "rigidity," the central bank said. </p>
<p>Mumbai: India is not home-free with regards to the pressures of high prices but the moderation in retail inflation over the last two months is a relief, the Reserve Bank of India (RBI) said in its November bulletin published on Thursday.</p>.<p>"We are not out of the woods yet and have miles to go, but (inflation) readings of around 5% and 4.9 per cent in September and October, respectively, are a welcome relief from the average of 6.7 per cent in 2022-23 and 7.1 per cent in July-August 2023," the RBI said in its 'State of the Economy' article in the bulletin.</p>.<p>India's annual retail inflation eased to a four-month low of 4.87 per cent in October but remained above the RBI's 4 per cent target. The central bank expects inflation to average 5.4 per cent in 2023-24.</p>.RBI directs Bajaj Finance to stop sanction, disbursal of loans under eCOM, Insta EMI Card.<p>High-frequency food price data for this month up to November 13 indicates that cereal and pulse prices have increased further, while edible oil prices continued to decline, the RBI said.</p>.<p>India's growth continues to depend on domestic demand, which provides a cushion against external shocks, the RBI said.</p>.<p>The country's external sector has remained viable, with a modest current account deficit financed by resilient capital flows, one of the least volatile currencies in the world and a "healthy" level of foreign exchange reserves, it said.</p>.<p>India's economic growth has also picked up, the central bank said, noting the momentum of the change in gross domestic product is expected to be sequentially higher in October-December on the back of "ebullient" festival demand.</p>.<p>Investment demand also appears to be resilient given the government's infrastructure spending, an uptick in private capex and digitalisation, among other reasons, the central bank said.</p>.<p>The RBI also said the calibrated normalisation of surplus liquidity and robust credit growth strengthened transmission during the current tightening phase, although the transmission is still not complete.</p>.<p>The transmission of rates to term deposits has been robust, while savings deposit rates have exhibited "rigidity," the central bank said. </p>