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Wholesale price based inflation rate in India reached its highest level in 13 years on 27th July, 2008. It was
-
- 11.75 per cent
- 11.85 per cent
- 12.00 per cent
- 12.05 per cent
- None of these
- 11.75 per cent
Correct Option: E
Inflation increased steadily during 2008, reaching 8.75% by the end of May and in June when this jumped to 11% then there was an alarming increase in the prices. There were many reasons for it but one of the main driving forces was reduction in government fuel subsidies, which lifted gasoline prices by an average 10%.In July 2008, the key Indian Inflation Rate i.e. the Wholesale Price Index touched the mark of 12.6%, highest rate in past 16 years of the Indian history. This was almost three times the RBI‘s target of 4.1% and almost doubled as compared to 2007. This continuous rise slipped back to 12.4% by mid-August in 2008.
