India Inflation Will Be Contained Around 4%, Says Mizuho’s Varathan

The transcript discusses the shift in monetary policy from a neutral to an accommodative stance after cumulative rate hikes. It highlights the challenges of policy transmission in India, particularly due to constraints in the banking sector, including state and shadow banks. The discussion also covers the potential risks of inflation and economic instability, emphasizing the importance of effective policy transmission to ensure economic growth and stability.

What factors are contributing to the volatility of inflation as discussed in the text?

What potential risks are associated with the stability of the rupiah according to the speaker?