Bold steps will cool inflation: Montek

Describing the fiscal initiatives the government to contain prices as 8220;bold measures8221;, Planning Commission deputy chairman Montek Singh Ahluwalia said they will cool down inflation. 8220;So far as the measures are concerned, they are bold measures. They are not little bits of things and I think they will have an impact on inflation8221;, he told mediapersons on the sidelines of a conference. The government has taken a host of initiatives, including scrapping of duty on various edible oils and banning import of non-basmati rice and pulses to contain inflation, which increased to 6.68 per cent for the week ended March 15, much above the Reserve Bank8217;s target of 5 per cent. Pointing out that the steps taken by the government were 8220;the right measures to take8221;, Ahluwalia said the prices of edible oils have started coming down. 8220;I am very certain that we will be able to bring it under control8221;, he added. Pointing out that inflation was a global problem and not an India specific problem, he said, 8220;Every country in the world is facing an upsurge in the inflation. Chinese inflation is about 9 per cent, much worse than ours. We should recognise that this is a global phenomenon, not an easy one.8221; Inflation is a matter of continuous monitoring and the Finance Ministry is looking at it closely, he said. 8220;We should not be looking for day-to-day responses.8221;