Page 9 - Inflation

HCES shows some reassuring trends, urging CPI and policy overhaul

Shifting household consumption patterns and evolving priorities call for updates to inflation indices and a rethink of food and subsidy policies in India

ECB likely to delay next rate cut due to recent increase in inflation

Euro zone annual inflation accelerated in November to 2.2 per cent from 2.0 per cent a month earlier and above the ECB's 2 per cent target rate

Turkiye's central bank lowers key interest rate to 47.5%, 1st cut in 2 yrs

Turkiye's central bank lowered its key interest rate by 2.5 percentage points to 47.5 per cent on Thursday, carrying out its first rate cut in nearly two years as it tries to control soaring inflation. Citing slowing inflation, the bank's Monetary Policy Committee said it was reducing its one-week repo rate to 47.5 per cent from the current 50 per cent. The committee said in a statement that the overall inflation trend was flat in November and that indicators suggest it is likely to decline in December. Demand within the country was slowing, helping to reduce inflation, it said. Inflation in Turkey surged in recent years due to declining foreign reserves and President Recep Tayyip Erdogan's unconventional economic policy of lowering rates as a way to tame inflation which he later abandoned. Inflation stood at 47 per cent in November, after having peaked at 85 per cent in late 2022, although independent economists say the real rate is much higher than the official figures. Most ..

Year in Review: How inflation pinched pockets of Indian households in 2024

Indian households grappled with soaring prices in 2024 as inflation strained budgets and reduced purchasing power. High inflation rate cut into savings and curbed discretionary spending of consumers

Banks' average daily reserves fall after FIT framework: RBI report

RBI introduced ASISO facility in August 2020 to offer greater flexibility in managing day-end cash reserve ratio balances

India's small businesses drive jobs growth, wage gains curbed by inflation

The number of small manufacturing businesses, mainly family- owned units such as garment makers, auto component makers and food processing enterprises, grew to 20.15 million

People struggling with rising prices, govt sleeping like Kumbhkaran: Rahul

Leader of Opposition in the Lok Sabha Rahul Gandhi on Tuesday said that the people are struggling with rising prices and are forced to compromise on small things of daily needs while the government is sleeping like 'Kumbhakaran'. Gandhi shared a video on his social media handles on his recent visit to a vegetable market in Giri Nagar here and interaction with housewives who narrated their ordeal due to rising prices of food items. "A few days ago, I went to a local vegetable market and while shopping with customers, I talked to the vendors to know how the budget of the common people is deteriorating and how inflation has troubled everyone," Gandhi said in his post accompanying the video. "People are struggling with rising prices and are forced to compromise on small things of daily needs," the former Congress chief said in his post in Hindi. "We discussed the prices of garlic, peas, mushrooms and other vegetables, and heard the real experiences of the people. How garlic at Rs 400 p

India's economy faces slower growth in 2025, macro risks intensify

In 2025, macro policies will need to support domestic demand, but without compromising on macrofinancial stability risks

Retail inflation for farm workers eases to 5.35%, rural labourers to 5.47%

Retail inflation for farm workers and rural labourers dipped to 5.35 per cent and 5.47 per cent in November compared to 5.96 per cent and 6 per cent, respectively, in October this year. The All-India Consumer Price Index for Agricultural Labourers (CPI-AL) and Rural Labourers (CPI-RL) registered an increase of 5 points each in November 2024, reaching levels of 1,320 and 1,331, respectively, a labour ministry statement said. The CPI-AL and CPI-RL were 1,315 points and 1,326 points, respectively, in October 2024. "The year-on-year inflation rates based on CPI-AL and CPI-RL for the month of November 2024 were recorded at 5.35 per cent and 5.47 per cent, respectively, compared to 7.37 per cent and 7.13 per cent in November 2023. The corresponding figures for October 2024 were 5.96 per cent for CPI-AL and 6.00 per cent for CPI-RL," it stated.

Congress attacks Modi govt over rising food prices, spiraling inflation

The Congress on Monday took a swipe at the Modi government over "rising" prices of food items, saying the bullet train announced by it has not arrived but the inflation, which is spiralling upwards faster than the speed of a bullet train, has broken the back of the common person. Congress general secretary in-charge communications Jairam Ramesh said the people want answers not more "jumlabaazi (rhetoric)". He shared a media report on X which claimed that the rates of daily essential goods are increasing day by day and in the last one year, the prices of flour, oil, spices and dry fruits have increased by one and a half to two times. "The bullet train announced by the Modi government has not arrived, but the inflation, which is spiralling upwards faster than the speed of a bullet train, has broken the back of the common person," Ramesh said in his post in Hindi on X. "Inflation has doubled and tripled in the last ten and a half years. Vegetables, flour, oil, spices and everyday item

Out of sync: Persistent mismatch between MGNREGA wage growth and inflation

Over the past few years, wage growth has consistently trailed both general and food inflation rates, with the exceptions of FY21 and FY24

BoE to hold key rate despite slow economic growth, high inflation

The UK's central bank is set to keep interest rates on hold later Thursday as inflation has moved further above its target rate, even though the British economy is flatlining at best. The nine-member Monetary Policy Committee is widely expected to keep the bank's main interest rate unchanged at 4.75 per cent in the wake of figures showing inflation rising to 2.6 per cent, further above the target of 2 per cent. With price pressures elevated in the crucial services sector, which accounts for around 80 per cent of the UK economy, and wages strong, there are few indications that inflation will get back towards the target anytime soon. As a result, the rate-setting panel, which last cut its key rate in November, is set to take a cautious stance, as lower borrowing rates could stoke inflation. That's a disappointment for many struggling sectors in the UK economy that would be helped by lower interest rates in an environment of paltry growth in fact the British economy has contracted for

Canada's inflation rate dips to 1.9% in November driven by price slowdown

After the substantial reduction in interest rates, triggered by the return of inflation to the bank's target this year, BoC Governor Tiff Macklem indicated last week that further cuts would be more

Impact of digitalisation on inflation needs close monitoring: DG Patra

Patra highlighted that digitalisation can be regarded as a long-term technology shock impacting economic growth, productivity, labour markets, older technologies, and inflation

GRAP III restriction in Delhi, inflation, and more

GRAP-III restrictions have been reimposed in Delhi and the national capital region due to "unfavourable weather conditions, including calm winds and low mixing height," the Commission for Air Quality

An open letter to the RBI Governor: On growth, inflation, rupee challenges

You have come at a time when the growth-inflation dynamics is changing and the rupee is under pressure

India’s retail inflation, One Nation One Election, Arvind Kejriwal & more

India’s retail inflation eased to 5.48% in November, with food inflation dropping to 9.04% after fresh produce helped curb vegetable prices.

Stability, trust, and growth key: RBI Guv Sanjay Malhotra in first address

'We cannot be stuck. We have to be agile while maintaining policy continuity,' Sanjay Malhotra said in his first address as RBI governor

Rate cut bets rise post new RBI chief appointment, nudge bond yields down

Malhotra's appointment comes as economic growth has slowed and inflation has risen

RBI governors keep in mind requirements of the wider economy as well: Das

Outgoing RBI Governor Shaktikanta Das reflects on six years at the helm as Sanjay Malhotra prepares to take over