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Why a well-crafted forward guidance from RBI is more important than the quantum of rate cut

Updated : December 05, 2019 06:35 AM IST

The discussion would not be about whether there will be further accommodation on December 5 but rather about what else can be done to bolster the dovish message.
Several factors will keep CPI elevated in the short term including food prices and some possible temporary spikes in core CPI on account of the telecom tariff hikes.
Why a well-crafted forward guidance from RBI is more important than the quantum of rate cut

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