RBI is getting its way on policy rates. But how long will this last?

It will be interesting to see if Shaktikanta Das can keep his political masters in good humor. Or if his relationship with the government - like that of his two predecessors - will also start to fray

Back in February, when India was still in denial about its brewing inflation challenge, economists at Nomura Holdings Inc. summarized the choices before the monetary authority into three neat boxes. First, they said, there was a 15 per cent probability that the central bank was right to ignore supply-side pressures. But their base case, to which they assigned a 50 per cent likelihood, was that the Reserve Bank of India was wrong and it would have to pivot to containing price increases. They did consider a third possibility to which they gave a fairly significant 35 per cent chance: that