January 13, 2020
Spike in Inflation to subside soon: PHD Chamber
Escalation in CPI inflation stoked by high food inflation is majorly because of sustained cold wave in the month of December and disruption in the supply of food items, said Dr D K Aggarwal, President, PHD Chamber of Commerce and Industry in a press statement issued here today.
Inflation will come down very soon as supply of these items is improving significantly, said Dr Aggarwal.
The CPI inflation grew at 7.4% in December 2019 due to high inflation in vegetables (60.5%).
We don’t expect that the rise in inflation rate is sustainable; the average inflation should remain at around 5.5% for the current financial year, said Dr Aggarwal.
Going ahead, we look forward to the continuation of softer stance of monetary policy by RBI to spur investments and consumption demand in the coming times, said Dr D K Aggarwal.
PHD Chamber of Commerce and Industry