RBI's Das Warns Against Premature Move on Policy

The RBI have released the minutes of their January meeting, where rates were held at 6.50%. Highlights below via Reuters News:

• Chief Das: Current setting of monetary policy moving in right direction, with growth holding firm, inflation trending down to target
• Chief Das: Monetary policy must remain vigilant, not assume that our job on inflation front is over
• Chief Das: Any premature move on policy may undermine success achieved so far
• Deputy Patra: Monetary policy must remain restrictive and maintain downward pressure on inflation, minimise output costs of disinflation
• Goyal: There seems to be overall acceptance that inflation is moving towards target
• Bhide: Revival of growth in consumption demand would be key factor in sustaining current growth momentum
• Bhide: There is need to remain focussed on achieving inflation target in sustained way
• Bhide: Critically important at this juncture to continue with present policy rates so moderation in inflation to target is achieved
• Varma: High real rate of 2% not required to drive inflation down to target of 4%
• Varma: If potential growth rate is close to 8%, then economy not at risk of overheating in 2024-25
• Ranjan: Avoiding any pre-mature move will help us guard against having to backpedal later if faced with upside surprises to inflation

The full minutes can be found here.