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Govt may hike interest rates after 6% inflation
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Govt may hike interest rates after 6% inflation
20 Jan '07
1 min read
In first week of 2007, inflation has reached two year high of 6.12 percent, a possible hike in interest rate is expected by the end of this month.
Experts are also expecting reduction in import duties by the Government, as inflation is expected to be triggered by lack of supply.
For past three years, it is for first time that wholesale price index (WPI) for the manufactured products has climbed to 6 percent.
Finance Ministry has already requested manufacturing units not to increase the prices, which can increase inflation further.
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