India's wholesale price inflation could come down to 5 percent to 6 percent by December, but price pressures in the economy may prompt the Reserve Bank of India (RBI) to resort to tightening through unpredictable moves, a top government official said on Tuesday.
"By November, if market arrivals are significantly larger than last year, you should see a dampening of the rate of inflation," Chief Statistician T.C.A. Anant told Reuters in an interview.
He also said latest headline inflation numbers suggest that "slight dampening" was taking place.
June inflation data is due on Wednesday.
According to a Reuters' poll, headline inflation in June probably rose 10.8 percent from a year earlier, faster than a 10.16 percent rise in May.
Anant also said that monetary policy works best through an element of unpredictability and he would not be surprised if there is no rate hike in the scheduled July 27 monetary policy review.
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