How do you see the impact of CPI inflation for Jan-22 on RBI policy?

CPI inflation or the retail inflation for the month of Jan-22 moved higher by 42 bps month on month to 6.01%. This is outside the upper tolerance limit of the RBI. It may be recollected that the RBI has set target median rates of inflation between 2-6% range with preferred median point inflation at around 4%. While fuel prices tapered in Jan-22, food inflation remained elevated and core inflation, outside of food and fuel, shot up to over 6.2%.

Overall, the Indian inflation may not be too surprising considering that US retail inflation for the month of Jan-22 had come in at a hefty 7.5%. This does raise some serious questions about the feasibility of the RBI inflation target which has been pegged at 4.5% for FY23 in its credit policy statement. In the Feb-22 policy, the MPC maintained status quo on rates, but it is unclear how long that stance can continue with 6.01% inflation; at least not beyond April.