Chennai, September 23: Overall inflation is expected to fall to 6.5 per cent by end of this year, and 5.5 per cent by March, Prime Minister’s economic panel said today, even as food inflation for the week ended September 11 soared to 15.46 per cent on supply disruptions on account of rains and floods.
Week on week, food inflation climbed 0.36 percentage points from 15.10 per cent on September 4.
However, on overall price rise, Economic Advisory Council Chairman C Rangarajan said, “As per the new series for August (2010), the wholesale price index (WPI) showed an inflation of 8.5 per cent. This is one per cent less than the old series.”
He said the difference arose because of changes in the weights attached to different commodities. Certain commodities which witnessed sharper increase in recent period have also registered a lower weight in the newer series and “…
–Agencies