Inflation seen inching up in March, but still below RBI target: Report

Agencies
April 9, 2019

Bengaluru Apr 9: India’s retail inflation is expected to have accelerated in March on slightly higher food prices but remain under the Reserve Bank of India’s medium-term target of 4 per cent, a Reuters poll predicted.

If the forecast is realized, March will be the eighth month in a row with below-target inflation, giving the RBI room to squeeze in another rate cut this year.

According to the median consensus of over 40 economists polled by Reuters between April 4-8, consumer prices rose at an annual rate of 2.80 per cent in March, up from 2.57 per cent in February.

Forecasts ranged between 2.43 per cent and 3.10 per cent.

“Headline CPI inflation will have remained low in March, even if, as we suspect, it rose slightly as food inflation continues to pick up. In particular, the sharp fall in vegetable inflation over recent months appears to have bottomed out,” said Shilan Shah, senior India economist at Capital Economics.

Food prices, which constitute nearly half of India’s CPI basket, declined 0.66 per cent on-year in February compared with a drop of 2.24 per cent in January.

Oil - India’s biggest import item - has risen over 30 per cent this year and is currently trading at around USD 70 per barrel.

“Transport and utilities - which are clearly being driven by the rise in oil prices - are (also) driving headline inflation higher on a year-on-year basis,” said Prakash Sakpal, Asia economist at ING.

At its April 4 monetary policy meeting, the RBI lowered borrowing costs for the second consecutive time to spur growth, bringing the repo rate to 6.0 percent.

The rapid policy easings come just weeks before voting begins in a national election, the results of which will be announced in May.

“The growth argument is not strong for easing policy just yet. Growth is slowing indeed, but it is not just India, it is slowing everywhere. (But) India still has very strong domestic demand,” said ING’s Sakpal.

According to a Reuters poll last week, economic growth is forecast to average 7.2 per cent over the coming year.

But while inflation is predicted to rise to the RBI’s target this year, just under half of economists polled by Reuters last week predicted another rate cut.

“The RBI will almost certainly follow up its cumulative 50bp of rate cuts this year with further loosening, perhaps as soon as June,” said Shah at Capital Economics.

“But with core inflation still elevated, we think that further policy loosening will prove to be a policy mistake.”

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News Network
May 30,2020

New Delhi, May 30: As the NDA government completes one year of its second term, Prime Minister Narendra Modi listed several achievements and initiatives taken by his government in the past year in an audio message addressed to the people of the country.

PM Modi said, "This day last year began a golden chapter in the history of Indian democracy. It was after several decades that the people of the country voted back a full-term government with a full majority."

"Your role has played a pivotal role in creating this chapter. In such a situation, this day is an opportunity for me to bow to the citizens of the country and the democratic ethos of our nation," said PM Modi.

"Had the situation been normal, I would have got the chance to meet you. Your affection and active support in the past year have given me new energy and inspiration. During this period, the way you have shown the collective powers of democracy, they have become an example for the whole world," he added.

PM Modi talked about several important initiatives taken by his government in 2014 as well as India's demonstration of its mettle through the surgical strike and airstrike.

"Six years ago in 2014, the people of this country voted to bring a major change in the country. You voted to change the country's policy and manner. During that tenure where surgical strike and airstrike took place, one rank one pension, one nation one tax GST, and better MSP for farmers were also fulfilled. That period was dedicated to fulfilling many needs of the country."

He further said that in these years the country has seen systems coming out of the quagmire of inertia and corruption. The country has seen governance change to make life easier for the poor.

"During that period, India's stature in the world increased. By opening bank accounts of poor people, by giving them gas connections, by providing free electricity connections, by building washrooms, by building houses, the dignity of the poor has also been increased," said PM Modi.

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Agencies
February 23,2020

Motera, Feb 23: A day before US President Donald Trump's visit to Ahmedabad, a makeshift VVIP entry gate erected outside the newly-built cricket stadium in Motera area here collapsed due to gusty winds on Sunday morning, an official said.

The entire incident was recorded by a bystander and aired on local television channels.

The makeshift entry gate was made of welded steel rods and covered in flex banners.

After some time, a portion of another makeshift gate structure at the stadium's main entrance also collapsed due to the windy weather, another official said.

No one was injured in both the incidents and work was underway to put the structures back in place, he said.

"The (VVIP) entry gate collapsed when fabrication work was going on. It was not a major incident. No one was injured in the incident," said Special Commissioner of Police, Crime Branch, Ajay Tomar said.

President Trump and Prime Minister Narendra Modi will participate in a roadshow here on Monday and later address the 'Namaste Trump' event at the Sardar Patel Stadium in Motera area where over one lakh people are expected to be present.

The stadium has already received 'Building Use' permission from the Ahmedabad Municipal Corporation, an official earlier said.

It is the world's largest stadium with a capacity to accommodate 1.10 lakh spectators.

The stadium has been rebuilt after demolishing the old one which had a seating capacity of 49,000 spectators.

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Agencies
July 1,2020

Sopore, Jammu And Kashmir: A three-year-old boy survived as his grandfather was killed in a terror attack on the Central Reserve Police Force (CRPF) in Jammu and Kashmir's Sopore town this morning. A CRPF jawan was also killed in the line of duty as terrorists opened fire on a patrol team.

In heart-wrenching images, the child is seen sitting on the blood-splattered body of his grandfather, a civilian caught in the crossfire. The boy was numb with fear when he was picked up by policemen, according to the police.

The Kashmir police also tweeted a photo of the child being carried to safety by a policeman.

"Jammu and Kashmir police rescued a three-year-old boy from getting hit by bullets during the terrorist attack in Sopore," said the tweet by the Kashmir Zone Police.

The child was travelling in a Maruti car with his grandfather from Srinagar to Handwara when it was hit by a spray of bullets in Sopore town, which is in Baramulla district about 50 km from Srinagar.

The police said terrorists hiding in a mosque fired indiscriminately at the patrol team as it was getting off a bus. The CRPF troops retaliated but the terrorists managed to escape.

According to the CRPF, the grandfather stopped the car and got out to run to a safe spot but was shot dead in the firing by terrorists. The boy was later rescued by a policeman standing nearby.

Last week, a six-year-old boy was killed during a terror attack on the CRPF in Anantnag.

Little Nihaan Bhat was sleeping in a parked car when he was hit by a bullet. Police say the terrorist was on a bike and opened fire from a pistol on a CRPF patrol. One jawan was killed. The child's killing drew widespread anger and condemnation.

The terrorist believed to be involved in the Anantnag attack escaped yesterday after an encounter with security forces. Police said two other terrorists who were hiding with him at a village were killed.

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