Why is the Indian government not declaring the inflation rate for the?
This has a lot to do with market expectations. Macro variables like unemployment rate and inflation rate are taken into account by investors, small and big, when taking decisions. By withholding an official estimate of inflation rate for the 202021 FY, the government is trying to hold back adverse market reactions that may create more economic slumps. This has a connection to self-fulfilling prophecies. If I believe that a company is not performing well and may devalue its shares (as a result of which I may lose even my initial investment), I will preemptively sell my holdings in that company to salvage money. Now imagine if a large proportion of shareholders think exactly like this; the shares for that firm will lose value simply based on a belief of failure, not an actual event. That belief could be misinformed, but it turns out to be true eventually, simply because you acted on it. Bank runs can also be explained as self-fulfilling prophecies. In this light, the government may be trying to prevent an event of self-fulfilling prophecy. Inflation rate for FY 202021 will not be a typical economic indicator, as it will be heavily influenced by short-term spikes in prices of certain commodities and goods. For the layman, seeing a high inflation rate in the headlines is not comforting, especially when they cannot fathom why the number is as it is. This will create a situation equivalent to a distortion, which will lead to misinformed expectations about prices, leading to decisions that may create problems that never existed to begin with.