ICRA's Chief Economist, Aditi Nayar, projects a slight rise in WPI inflation to 2.5-3% this month, diverging from CPI but converging by December. She anticipates CPI inflation cooling to 5-5.1%, potentially prompting a February rate cut. While a record trade deficit was driven by gold imports, Nayar expects moderation, forecasting a full-year current account deficit of 1.3-1.4% of GDP.
