Inflation slips to 3.36 per cent from 3.92 per cent

Inflation decreased to 3.36 per cent for the week ended 13 February. Measures taken by the government of India and central bank checked the inflation.

Previous week the inflation was recorded at 3.92 per cent. The slide in the rate of inflation brightens the chances of interest rate changes by RBI.

The anti-inflation policies by the RBI during the crucial time were proved effective. On the other hand RBI did balancing measures as the situation also demanded check on the liquidity crisis.

The inflation rate in India was once high with around 12 per cent in August last year. The fall in the inflation rate would give respite to the household economy. However, the impact of the global financial crisis is still there on the economy.

The further fiscal measures by the government of India and RBI are expected to get relief from the impact of the global slowdown.