Expectations of growth. Of what?

"Retail inflation in India eased to 4.87% in October on an annual basis, data released by the Ministry of Statistics & Programme Implementation showed." ET. This is way above the government mandate for the Reserve Bank (RBI) to keep consumer price (CPI) inflation at 4% till March 2026. ET. This is in sharp contrast with the US Federal Reserve which has brought CPI inflation down to 3.7% in September. "Over the last 12 months, the all items index increased 3.7 percent before seasonal adjustment." bls.gov. It is expected to have come down further in October. "According FactSet, the overall CPI is forecast to come in at a 3.3% annual rate in October, down from 3.7% in September. Meanwhile, core CPI is expected to remain at September levels, with a 4.1% increase from a year ago." And yet, the highest rate of CPI inflation since 2019 in India was 7.8% in April 2022 (RI), whereas the highest rate in the US was 9.1% in June 2022 (USIC). But, while the US Fed has brought it down to 3.7% in September and is expected to achieve a rate of 3.3% in October, the best the RBI has managed is 4.87% in October, down from 5.02% in September. RBI's failure is further highlighted by average inflation which has been 3.7% in 2019, 6.6% in 2020, 5.1% in 2021 and 6.7% in 2022 in India, compared to 1.8%, 1.2%, 4.7% and 8.0% over the same years in the US. "The University of Michigan's latest consumer survey...showed that Americans' long-run inflation expectations rose to 3.2% this month, the highest level since 2011. And those perceptions could continue to get worse the longer it takes the Fed get inflation back to its 2% target." "If there's one thing that would make the Fed quake in its boots, it would be worsening inflation expectations." CNN. In India, the "households' perception of current inflation moderated by 50 basis points (bps) since July 2023 round of the survey to 8.4% in September 2023." Since the actual rate was 5.02% (pib.gov.in), does it mean that people think government figures are fudged? "The RBI's bi-monthly Inflation Expectations Survey of Households (IESH) showed that inflation expectations of households declined by 90 bps for three months to reach 9.1%. They declined by 40 bps for one year ahead to reach 9.9%." BS. But, whereas the US Fed is quaking "in its boots" the RBI is nonchalant. "RBI remains watchful and the monetary policy is actively deflationary and supporting growth, Governor Shaktikanta Das said." "At a symposium in Tokyo." BS. Low or negative real interest rates bring down borrowing costs for the rich even as high inflation reduces the value of their debt. And hence, "The number of (dollar) millionaires in India is expected to double by 2026, and its luxury market is expected to triple in size by 2030. However, consumption and wages in rural markets are stagnant. Even urban incomes have not kept pace with inflation." DH. No wonder Mr Santosh Iyer, Managing Director & CEO of Mercedes Benz in India is excited." ET. And, no wonder Prime Minister Narendra Modi promised free rations for over 800 million people for 5 years. HT. RBI promises growth. Of what exactly?