Fiscal Policy Can Help Mitigate Food, Fuel Inflation Pressures: IDFC's Gaura Sengupta
IDFC First Bank Chief Economist Gaura Sengupta said fiscal policy is better suited than monetary policy to address the current food and fuel price pressures, with measures such as boosting onion supplies, increasing imports and absorbing part of the energy shock helping contain inflation. She told NDTV Profit that benign core inflation reduces the need for an immediate rate hike, although recent MPC minutes have increased the probability of policy tightening.
