New Delhi, June 20 -- With oil prices down 16 per cent since the June Monetary Policy Committee (MPC) meeting and geopolitical risks easing, the inflation outlook has improved and the MPC now has headroom to choose the timing of policy normalisation, ICICI Global Markets Economic Research Group said in a report.

ICICI Research noted that the growth-inflation balance has changed considerably since the policy meeting. "Since the June policy meeting, growth-inflation balance has changed considerably with oil prices falling by 16%. Hence, minutes should be seen in that context," the research group said. Brent crude was trading around USD 95/bbl during the meeting but has since declined substantially following a peace agreement and gradual op...