Union Finance Minister Nirmala Sitharaman today addressed public perception of neverending inflation, saying that prices are actually coming down, not going up.
During a press briefing today on the second day of her visit to Meghalaya, Sitharaman was asked why inflation remains a worry.
In response, she said that the data clearly shows a downwards trend.
“You’re probably not looking at the latest figures,” Sitharaman told the reporter. “Otherwise, the Reserve Bank of India (RBI), which closely monitors inflation, wouldn’t have moved to reduce interest rates.”
The RBI cut the rate it charges banks by 0.50 percent in early June. The Union minister pointed out that both the Wholesale Price Index (WPI) and the retail inflation rate have seen a consistent decline across the country. Citing RBI’s latest monetary policy stance, she said, “Inflation has actually been well under control. That’s why the RBI has given a picture that it can front-load interest rate reduction.”
Sitharaman maintained that macroeconomic indicators, particularly inflation metrics, are showing positive signs, allowing for policy decisions that could stimulate growth.
