The inflation conundrum

Soaring consumer prices in India have hurt household budgets this year, with prices of essential items like medicines rising continuously. While this was in sync with global inflation, experts argued that some of it was also a result of delayed action by the RBI. The country’s central bank did not acknowledge the problem for a long time.

As a result, the median rate of inflation from March to September stayed around 7%, significantly higher than the targeted 4%.

The RBI is believed to have informed the government that the Ukraine war was the primary cause of the problem.

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