New Delhi, June 14: The government’s top economic managers today dropped strong hints that the Reserve Bank may raise key policy rates to check spiralling inflation which has crossed the double-digit mark.
Such indications were given by Planning Commission Deputy Chairman Montek Singh Ahluwalia, Chairman of Prime Minister’s Economic Advisory Council C Rangarajan and Finance Secretary Ashok Chawla.
Annual inflation, measured by movement of the wholesale prices, rose to a heady 10.16 per cent in May, as per the provisional figures released today. The final inflation figures for March too stood revised at 11.04 per cent from 9.90 per cent reported earlier.
“It (high inflation) is always a matter of concern,” Finance Secretary Ashok Chawla said.
Though the RBI is slated to review its monetary stance on July 27, it may step in earlier in view of the soaring prices, which are hurting the common man.
–Agencies