15th April 2022 (6 Topics)
1
Apr
2
Apr
4
Apr
5
Apr
6
Apr
7
Apr
8
Apr
9
Apr
11
Apr
12
Apr
13
Apr
14
Apr
15
Apr
16
Apr
18
Apr
19
Apr
20
Apr
21
Apr
22
Apr
23
Apr
25
Apr
26
Apr
27
Apr
28
Apr
29
Apr
30
Apr
India’s Inflation rate at 17-month high
Context
Recently released Consumer Price Index (CPI) inflation was at a 17-month high of 6.95% leading to growing concern over household consumption, saving and overall growth.
About
CPI Inflation
- It is an index that tracks changes in the costs of the majority of commonly used products and services by consumers in order to measure retail inflation in the economy.
- Retail inflation, or CPI-based inflation, is the term used to describe changes in the price index over time.
- Generally speaking, the government and central bank utilize the CPI as a tool for price stability inspection and inflation targeting, as well as a deflator for the national accounts.
- CPI Calculation formula: CPI = (Cost of basket divided by Cost of basket in the base year) multiplied by 100.
- Base Year: 2012 is the CPI's base year.
- Published by: The CPI-based inflation data is compiled by the Ministry of Statistics and Programme Implementation (or MoSPI).
- CPI data is used by Monetary Policy Committee (MPC)to control inflation.
- Reserve Bank of India (RBI) adopted the CPI as its key measure of inflation in April 2014.
|
Consumer price index numbers in India
|
Responsible factor
- Price rise and inflation rates during the Covid-19 pandemic
- Ongoing Russia-Ukraine war has complicated the situation as several countries across the world are facing worsening supply bottlenecks.
Situation in other nations
- India is not the only country that has been witnessing rising inflation.
- Developed nations such as the US, the UK, and China are also grappling with spiraling commodity prices.
- While India's neighbors Pakistan and Sri Lanka are encountering the worst economic crisis, South Korea is also facing the issue of inflation.
Courses
Study
Notes
Home
Resources
More
