CPI to come down below 4 per cent by December 2020
by Yash Shah
Saugata Bhattacharya, Chief Economist at Axis Bank said that the stubbornly high inflation has limited the scope for additional rate cuts this fiscal. He expects CPI to come down below 4 per cent by December 2020. He added that rate cuts thereafter in April-January quarter might not meaningfully add to the then ongoing demand recovery. A Prasanna, Chief Economist at ICICI Securities Primary Dealership said that the Central Bank also has to contend with high government borrowing this year and will have to continue to use open market operations to keep yields under check.