Sharp decline in inflation a plus - RBI's Subbarao

The sharp decline of India's headline inflation is an advantage for the country's policymakers as they respond to the current economic conditions, said Duvvuri Subbarao, the governor of the Reserve Bank of India.

Subbarao said that the decline in inflation in India should revive and support consumption demand and reduce input costs for corporates.

He added that the decline in global crude prices and naphtha prices, if sustained, would reduce the size of subsidies to oil and fertiliser companies

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