Drop in food inflation
NEW DELHI: Providing relief to consumers and policymakers India said that annual food inflation eased marginally for a second straight week after surging to nearly 18 percent last month,
On Thursday Food inflation, measured on a weekly basis, fell to 15.52 percent for the week ending January 8 from a year earlier, according to commerce ministry figures.
That was down from the 16.91 percent rise recorded in the preceding week.
Drop in inflation comes at a time when India’s central bank is considering hiking interest rates to contain annual inflation, which is running at 8.43 percent, driven by rises in the cost of food, fuel and commodities.
On Wednesday PM Manmohan Singh said ‘inflation would be brought under control soon’.
PM said after announcing a minor cabinet reshuffle, “There are certain factors which are beyond our control (but) despite the problem, I am confident that we will be able to bring about price stability by March.”
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