Fruits, vegetables push inflation to 12.14%

[rahul_parab2006]

NEW DELHI: After declining for three successive weeks, inflation rose marginally to 12.14 per cent for the first week of September mainly due to dearer food items like fruits and vegetables.


It was a 0.04 per cent rise in inflation for the week ended September 6 from 12.10 per cent a week earlier, even as some fuel items like ATF turned cheaper on account of falling global crude oil prices.

However, the increase in the inflation figure was described as 'stable' by the Finance Ministry.

"Inflation on year-on-year basis remained stable at 12.14 per cent for the week ended September 6," the Finance Ministry said in a statement here on Thursday.

Prices of food and vegetables were up six per cent, while wheat and urad rose by three per cent.

Some minerals like fire clay shot up by 37 per cent.

However, on a week-to-week basis, inflation of 30-essential items rose to 7.72 per cent for the week from 7.52 a week earlier, the Finance Ministry said.

Prime Minister Manmohan Singh had yesterday expressed confidence that inflation would moderate further in the coming months.

"There are signs of moderation in the high inflation that we have witnessed recently. We are confident that the situation will improve further in the coming months because of the measures that we have taken," he had said.

However, Finance Minister P Chimdambaram kept his fingers crossed on inflation, which was declining in the previous three weeks.

Earlier in the day, he said: "Do not count your chickens before they are hatched. Keep your fingers crossed like I do. I keep my fingers crossed."

Source : DNA India