Inflation Increases To 3.83%

Wholesale price index-based inflation rate grew by 3.83 per cent for the week ended January 12, as prices of manufactured goods and some food articles edged up. Inflation is still below Reserve Bank''s forecast of close to 5 per cent for the fiscal, and bankers expect the central bank to soften its monetary policy stance when it comes up for review on January 29. Inflation rate for the week ended January 5 was 3.79 per cent and 6.15 per cent in the year-ago period. CRR rate could be left unchanged, as there is enough liquidity in the system, Barua stated, adding that further interest rate cut by the US Federal Reserve is not ruled out when it meets on January 30.