India’s RBI May Lower Inflation Forecast by 50 BPS, Says Citi

India’s central bank may lower its near-term consumer inflation forecast by as much as a half point after inflation fell in November and December, Citigroup Inc. said in a note.

Though headline inflation has softened, the Reserve Bank of India may still have to contend with sticky core inflation, which has hovered around 6% for 15 months, Citi economists Samiran Chakraborty and Baqar M Zaidi wrote in a note released on Thursday.