Arab Today, arab today indias inflation rate flat raising rate cut hopes
Last Updated : GMT 20:58:11
Arab Today, arab today
Arab Today, arab today

India's inflation rate flat, raising rate cut hopes

Arab Today, arab today

Arab Today, arab today India's inflation rate flat, raising rate cut hopes

Reserve Bank of India governor Raghuram Rajan's aggressive
New Delhi - AFP

 India's wholesale inflation fell to a five-and-a-half-year low driven by ongoing falls in fuel and food prices, data showed Monday, boosting expectations of an interest rate cut early next year.
The Wholesale Price Index, India's inflation measure with the biggest basket of goods, slipped to a lower-than-expected zero percent in November from a year earlier, the lowest rate since July 2009, official data showed.
The latest WPI compares with a five-year-low of 1.77 percent recorded in October, and was below analysts' estimates of about 1.1 percent.
Analysts said Reserve Bank of India governor Raghuram Rajan's aggressive policies to curb price rises appeared to be paying off.
The sharp fall in global crude oil prices also helped keep inflation in check in India, which imports most of its fuel.
"This means the Reserve Bank of India (RBI) will be under pressure to cut rates," said Arun Singh, senior economist at credit data firm Dun & Bradstreet.
Figures released on Friday showed consumer inflation slowed to 4.38 percent, a three-year low, while industrial output contracted, also putting pressure on the central bank to cut rates.
That inflation figure was below the RBI's six-percent goal for January 2016, and down sharply from double-digit inflation last year.
Finance Minister Arun Jaitley is hoping for a cut in borrowing costs to boost investment and stimulate the faltering economy, which is mired in the longest slowdown in a quarter of a century.
But even with inflation falling, the RBI has resisted appeals to loosen monetary policy.
Rises in prices of food especially have caused huge hardship for India's 1.2 billion population, of which nearly a quarter live in severe poverty, according to the World Bank.
Rajan, a former chief economist of the IMF, said earlier this month a cut in its benchmark repo rate was "premature", but indicated a reduction was very likely in early 2015 if inflation continued to fall.
"The world has not changed between now and the last RBI policy meeting. The fall in inflation was expected," said Ashutosh Datar, economist at IIFL Holdings Ltd, who predicted the RBI will wait for two more months of inflation data before acting.
India's economy grew by 4.7 percent last year and the RBI expects it to expand by 5.5 percent this year -- far below the near double-digit growth needed to generate employment for tens of millions of new entrants to the job market.

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today indias inflation rate flat raising rate cut hopes Arab Today, arab today indias inflation rate flat raising rate cut hopes

 



Arab Today, arab today
Arab Today, arab today Jordan airline suggests flyers 'talk'

GMT 11:59 2017 Friday ,24 March

Jordan airline suggests flyers 'talk'
Arab Today, arab today 5 Crafty Must-Have Limited-Budget Ideas

GMT 17:03 2017 Saturday ,25 March

5 Crafty Must-Have Limited-Budget Ideas
Arab Today, arab today Dozens dead in US-led Syria strikes

GMT 08:35 2017 Thursday ,23 March

Dozens dead in US-led Syria strikes
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Yemen children dream of school

GMT 07:25 2017 Friday ,24 March

Yemen children dream of school
Arab Today, arab today MP submits a petition to dismiss university head

GMT 06:21 2017 Friday ,24 March

MP submits a petition to dismiss university head
Arab Today, arab today Salvage of South Korea's Sewol ferry

GMT 04:51 2017 Friday ,24 March

Salvage of South Korea's Sewol ferry
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Audi RS 5 Coupe acquires new design

GMT 13:22 2017 Thursday ,23 March

Audi RS 5 Coupe acquires new design
Arab Today, arab today Renault Trezor wins design award

GMT 11:56 2017 Tuesday ,21 March

Renault Trezor wins design award
Arab Today, arab today Actress Mervat Amin reveals her role in new series
Arab Today, arab today 2017 already marked

GMT 15:25 2017 Tuesday ,21 March

2017 already marked

GMT 06:04 2017 Thursday ,23 March

Haifa Wahby bets on her new drama show

GMT 22:00 2017 Thursday ,23 March

Number of unwedded girls amounts to 2.5m

GMT 18:57 2017 Tuesday ,21 March

Accessories designer reveals her new collection

GMT 10:34 2017 Tuesday ,21 March

Mexico threatens to ditch US corn imports

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures

GMT 20:03 2017 Saturday ,25 March

Health expert warns from dust sensitivity

GMT 07:36 2017 Wednesday ,22 March

US, Britain ban laptops on flights

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 19:27 2017 Saturday ,11 March

Boualsof launches "Priestess Kahina" collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday