Household saving rate of an average employee in metros has come down by 45 percent in last six years due to an exorbitant increase in prices of essential commodities, fuel and education, an Assocham survey on said.
Managing inflationary pressure-- particularly in foodgrain prices -- is the biggest challenge before policymakers, according to C Rangarajan, the chairman of the Prime Minister`s Economic Advisory Council.
Stressing that monetary policy has "serious limits" in tackling rising inflation, RBI Chair Professor at ICRIER B L Pandit on Friday made a case for expediting agricultural reforms to fight price rise.
Janata Party president Subramanian
Swamy claimed that black money was responsible for
inflation and price rise in the country as black marketeers
were using the ill-got wealth to hoard essential commodities.
A Reserve Bank working group today suggested that the short-term lending rate (repo) be made the single policy rate to signal the monetary policy stance, to effectively deal with inflation without hurting growth.
Inflation rose marginally to 8.31 percent for the month ended February from 8.23 percent in the previous month, putting pressure on the Reserve Bank to raise interest rates when it reviews the monetary policy later this week.
Criticising Prime Minister Manmohan
Singh`s remarks on having to tolerate a great deal in
coalition politics, CPI Friday said the UPA government was
"drifting" and had no control over inflation and corruption.
Tunisia deployed troops in the capital and imposed a dusk-to-dawn curfew on Thursday as weeks of violent protests reached the city and new clashes erupted
further south with three people reported killed.