The spread of coronavirus has put the entire world in lockdown. India too is suffering the ravages of this lethal virus. The 21 days lockdown which was suppose to get over till 15th April has been extended till 3rd May in view of the increasing cases.
The nationwide lockdown has put all economic activities on a standstill and transportation of various essential commodities are also affected. Many items are becoming expensive due to increase in demand and decrease in supply but RBI believes that inflation in the country will remain under control and is heading towards decline.
RBI Governor Shaktikanta Das says that while the prices of some things are going up, there are also many items which are seeing a huge fall in the prices. That is equating the situation and maintaining stability of prices.
Vegetables, oil, eggs, meat, fish, fruits, sugar and pulses became cheaper
Shaktikanta Das, citing the latest figures from the National Statistics Office, said that retail inflation declined by 0.7 per cent to 5.9 per cent in March. This indicates that inflation is coming down. He said that prices of essential commodities like vegetables, eggs, meat, fish, fruits, sugar, pulses and oil have fallen by 1.6 per cent in inflation data.
There is a possibility of further decline in inflation in the coming days
Citing daily data on prices of 22 essential commodities, the RBI governor said that prices of food items have increased by 2.3 per cent till April 13. However, with the fall in onion and kerosene prices by 24% along with an 8% fall in the price of LPG, inflation will further fall. Looking at the preliminary data, the Reserve Bank said that inflation is on the way to decline. From its peak in January 2020, it has seen a decline of 1.7 percent so far. There is a possibility of further decline in inflation in the coming days.
Reserve Bank will interfere
According to Shaktikanta Das, the inflation rate will come down to four per cent in the second half of the current financial year, if the supply deficit is left out. He assured that the entire system is being monitored closely and the Reserve Bank will intervene wherever needed.
In India cases rises to 14,378; death toll rises to 480
Coronavirus is bringing death and ruination in all countries. The total coronavirus cases in the world has crossed 22 lakh. Death toll has crossed 1 lakh 54 thousand and number of recovered have crossed 5 lakh 75 thousand.
In India, total cases have reached 14,378. Total deaths in the country lies at 480 and total people recovered are 1,992.