Jaitley says hopes rates will ease if inflation cools
NEW DELHI (Reuters) - Finance Minister Arun Jaitley said on Friday he hoped interest rates would be reduced should inflation ease, days after data showed consumer prices easing to their lowest since figures were first published in January 2012.
"Interest rates have gone up. Hopefully, if inflation moderates, they will come down," Jaitley told parliament.
Jaitley did not give specifics on the level of inflation.
Data on Monday showed consumer prices led inflation eased to 7.31 percent in June, helped by a slowdown in food inflation and a favourable statistical base.
The Reserve Bank of India uses retail prices as its main inflation gauge while setting its monetary policy. It will next review rates on Aug. 5.
The central bank is not statutorily independent from the finance ministry, but its bureaucrats prize autonomy.
(Reporting by Rajesh Kumar Singh; Writing by Neha Dasgupta; Editing by Rafael Nam)
- Tweet this
- Share this
- Digg this
- Alibaba surges 38 pct on massive demand in market debut
- UPDATE 3-Ebola lockdown brings Sierra Leone capital to a halt
- Eight bodies found after attack on Guinea Ebola education team
- UPDATE 9-Scots spurn independence in historic vote, devolution battle begins
- Scots spurn independence in historic vote, devolution battle begins
India has capped the prices of 36 drugs, including those used to treat infections and diabetes, in its latest move to make essential medicines more affordable, a senior official of the country's drug pricing authority told Reuters on Friday. Full Article
Top rice exporter India importing over 100,000 T on temporary supply squeeze. Full Article