food items, Wholesale price inflation increased to 1.84 percent in September, especially due to vegetables becoming expensive. This information was given in the government data released on Monday. Wholesale price index (WPI) based inflation was 1.31 percent in August. It had declined by 0.07 percent in September last year. Food inflation rose to 11.53 percent in September, compared to 3.11 percent in August. The reason for this was the inflation of vegetables which had increased by 48.73 percent in September. It had declined by 10.01 percent in August.
Rise in prices of both potatoes and onions
Inflation of potato and onion remained high at 78.13 per cent and 78.82 per cent respectively in September. The fuel and power category saw a deflation of 4.05 per cent in September, compared to 0.67 per cent in August. “The positive rate of inflation in September, 2024 will mainly be driven by prices of food items, food products, other manufacturing, motor vehicles, manufacture of trailers and semi-trailers, manufacturing machinery and equipment, etc.,” the Commerce and Industry Ministry said in a statement. Due to the increase in.
Loan will not become cheaper if inflation increases
The Reserve Bank of India (RBI) mainly takes into account retail inflation while formulating monetary policy. In its monetary policy review this month, RBI kept the key interest rate or repo rate unchanged at 6.5 percent. If inflation increases then the hope of getting cheaper loans will fade away.
