“The rise in wholesale inflation is quite alarming,” said Ved Jain, economist and former president of the Indian Chartered Accountants of India and added that “inflation has become a big challenge for the common man.”
Wholesale price inflation rose sharply to a four-month high of 14.55 per cent from a year ago, marking the 12th straight month of double-digit prints.
The Reserve Bank of India may be compelled to act faster on policy tightening after March inflation prints showed the fallout of the Ukraine war pushing energy rates higher was expected to add to the already spiralling price pressures.
“(The) RBI has to intervene to control inflation. According to me, the RBI will have to intervene ahead of time,” said Mr Jain.
“To control inflation, the RBI has to control the money supply first…Interest rates will increase, which will have an impact on growth and employment…There will be a double impact of inflation on the common man,” said the former president of the Indian Chartered Accountants of India.
