Union Minister Piyush Goyal described the link between food inflation and interest rates as an 'absolutely flawed theory.'

The commerce minister emphasised that these were his views and not the official stance of the Union government.

Commerce Minister Piyush Goyal called on the Reserve Bank of India to reduce interest rates. Goyal argued that using interest rates to control food price inflation was ineffective. RBI Governor Shaktikanta Das cautioned against assuming a rate cut.

RBI Governor Shaktikanta Das refrained from commenting on potential rate cuts in the upcoming December 2024 monetary policy. Earlier, Union Minister Piyush Goyal had urged the RBI to consider rate cuts in December.

He, however, clarified that it was his personal stance on the issue. Goyal, speaking on inflation trends, assured that prices would ease by December, stressing that India has experienced its lowest inflation levels under the Modi government since Independence.

I like to reserve my comments on rate action for December policy," said Shaktikanta Das while speaking at the CNBC-TV18 Global Leadership Summit. #CNBCTV18GLS2025 | In recent years the global economy has gone through unprecedented shocks.