Urban Indian Households Struggle To Cope With Rising Food Prices
Indian households in large cities and nearby suburbs are feeling the strain of higher food prices even as they adapt in creative ways, according to a report. About six in 10 households can pay their bills and save a little, but roughly four in 10 say they are either barely coping or financially insecure. Food inflation and volatile vegetable prices have made cost of living the top risk Indians see for the coming year.
What the Inflation Rate Doesn’t Tell You About Everyday Struggles
The official inflation rate is released every month and is used by policymakers and the media as an indicator of whether life is becoming more expensive for citizens. But a paper by the World Inequality Lab shows that this average number hides big gaps in how rising prices affect people at different income levels, especially the poor.
Why Indian Rupee Declined to 85.80 Per US Dollar
The Indian rupee fell to 85.80 per U.S. dollar on Dec. 27. While this decline significantly affects various groups in India, including importers, consumers, investors, financial markets, and the government, it should also be a concern for ordinary Indian citizens. Here’s why.
Raghuram Rajan Warns Against Excluding Food Prices from Inflation Calculations
Raghuram Rajan, a former Governor of the Reserve Bank of India (RBI), says in a media interview that he is opposed to the idea of excluding food prices from the calculation of headline inflation—essentially the overall change in prices. His concern stems from the importance of maintaining the trust and credibility of the central bank in the eyes of the public, as well as its effects on the economy and society.