Reserve Bank of India Sticks to Fighting Inflation With Slower Rate Hike

The transcript discusses the global economic challenges marked by shocks and uncertainties, including geopolitical tensions and inflation. It highlights India's economic resilience, supported by strong macroeconomic fundamentals and robust bank credit growth. The Monetary Policy Committee's decisions to adjust the repo rate and focus on inflation control are detailed. The growth and inflation outlook for India is assessed, with projections for GDP growth and inflation rates. Sectoral performance, including agriculture and manufacturing, is reviewed, along with risks from global slowdown and geopolitical tensions.

What major event in 2022 significantly altered the global economic outlook?

• The Brexit deal

• The Paris Climate Agreement

• The war in Ukraine

• The US-China trade war

Which section of the global population was most affected by surges in food and energy prices?

• The elderly population

• The middle class

• The poorer sections

• The wealthiest individuals

What is the current status of the Indian economy according to the transcript?

• Resilient

• In recession

• Stagnant

• Declining

What decision did the Monetary Policy Committee make regarding the policy repo rate?

• Increase by 35 basis points

• Increase by 50 basis points

• Keep it unchanged

• Decrease by 50 basis points

What is the primary goal of the MPC's monetary policy actions?

• To increase exports

• To anchor inflation expectations

• To reduce government debt

• To boost foreign investments

Which sector showed a strong start in the supply side according to the transcript?

• Healthcare

• Agriculture

• Technology

• Real Estate

What is the projected GDP growth for India in the first quarter of the next financial year?

• 4.4%

• 5.9%

• 6.8%

• 7.1%

What is the main risk to the inflation outlook mentioned in the transcript?

• Decreasing foreign investments

• Increasing interest rates

• Core inflation persistence

• Rising unemployment

What factor could lead to price pressures in the domestic services sector?

• Increase in input costs

• Decrease in consumer demand

• Reduction in government spending

• Decline in foreign tourism

What is the projected headline inflation for the current year?

• 5.9%

• 7.1%

• 6.7%

• 4.2%