Introduction

Inflation has consistently stayed above the 6% mark these past few months and they will have to draft that letter. Unfortunately, it seems like we may not get to see the contents of this letter. It could go straight into the classified folder in government offices. In fact, here's an imaginary letter for you. A letter we put together after cobbling bits and pieces from a recent discussion by some of the top guns at the RBI. Remember, it's just fiction. Here goes the letter. Dear government of India, We know our mandate very well. Price stability is at the heart of everything we do. But inflation isn't always a bad thing. Some inflation may actually aid growth.