IIP blues

The RBI, a victim of its own success, will now have to battle high inflation and the prospect of falling output driven by weakening demand. The Reserve Bank of India is in an unenviable position ahead of its monetary policy review meeting scheduled on Friday. It has to take a call on interest rates — whether to raise them further in the face of continuing inflationary pressures or pause temporarily based on the latest disappointing factory output data.

Read Full Story>>