Mumbai: The decision of the recent central government to cut customs from diesel and gasoline was very positive for inflation, the reserve of the Bank of India (RBI) Governor Shaktikanta DAS said on Wednesday.
He said food inflation is now controlled, but core inflation continues to increase.
“That (excise gasoline and diesel pieces) was significantly positive for inflation,” said the watershed.
Inflation in India is mainly due to supply-side factors, which has been handled by the government, he added.
“Supply side factors have been handled by the government, especially by referring to edible pulses and oils, and now recently with reference to gasoline and diesel.
All of this has been properly sown for inflation scenarios.” So, food inflation , In general, it looks now controlled, “said the watershed.” So far, when India is worried, core inflation remains increasing, and it is a policy challenge, and we maintain a very close watch from the evolution of core inflation, “he said.
Even fuel inflation Also remain increasing, and the RBI monitors carefully, he added.