Centre to take more measures for taming inflation : Bansal
Union Minister of State for Finance Pawan Bansal says the government would undertake additional measures to tame inflation.business Updated:
Amid inflation soaring to an over two-year high of 6.58 per cent for the week ending January 27, Union Minister of State for Finance Pawan Bansal has said the government would undertake additional measures to tame it.
"We would be taking additional measures which would help in containing inflation," Bansal said adding "But as of now I could not tell you what sort of measures would be taken by the government".
The inflation between 5 and 5.5 is acceptable as it reflects robust growth being witnessed by the country. But wholesale price index-based inflation breaching 6 per cent mark is surely a matter of serious concern for the government, Bansal added.
Stating that supply constraints in food grain items was the only cause behind rising inflation, Bansal said, the government has been taking fiscal and monetary measures from time to time in order to tame inflation.
Recently, the government had taken several steps such as reducing custom duty on essential commodities such as pulses and similarly, RBI raised repo rate in direction of containing inflation.
Last month, the Finance Ministry brought down customs duty up to 12.5 per cent on some varieties of edible oil.
First Published: Feb 09, 2007 15:21 IST