RBI Governor Shaktikanta Das also stressed on the need to remain vigilant on food prices, given the forecast of higher temperatures between April-June. He also said that the impact of reduction in fuel prices on inflation will deepen in the coming months.
Market participants largely expect the RBI to keep the repo rate unchanged while taking a cautious approach to food inflation. The market is also keen to know about the RBI plan of action to withdraw excess liquidity from the system