Inflation will halve to 6 per cent by December: PM
24 Jul 2010
With his government under attack for surging prices, particularly of food items, Prime Minister Manmohan Singh said today that with a good monsoon expected, inflation should be halved to 6 per cent by December.
In his opening remarks to the 55th National Development Conference (NDC), Singh said, ''The present high rate of inflation is mainly due to food price inflation.
The government has taken a number of steps to curb inflation. We expect to see the rate of inflation in wholesale prices come down to around six per cent by December.''
The meeting of the NDC, the country's highest policy making body, was called to review the progress of the 11th Plan and set right anomalies, if any.
The prime minister's remarks come ahead of the monsoon session of parliament, which is expected to be stormy over price rise, among other issues.
The NDC meet is being attended by several union ministers and almost all the state chief ministers.
Singh said the government has taken a number of steps to curb price rise. "With a normal monsoon, which is the expectation at present, the rate of inflation in food prices will abate in the second half of the year," he said. He added that the retail price index would also go down significantly by December.
