Deputy Chairman of the Planning Commission Montek Singh Ahluwalia anticipated that the double digit inflation would not stay for long. As per him, it would come down within two months.

However, he expressed his concerns over the food price rise. He suggested that the Reserve Bank of India must step forward to take control over the monetary policy. Ahluwalia was confident over the economic growth despite the inflation issue.

Meanwhile, RBI was expected to raise the interest rate. Experts believed that the key lending rate might go up by 25 to 50 basis points by 20th April. An economist at ICICI Securities Primary Dealership Ltd., Mr. A. Prasanna said that the government is now looking for a long term sustainable growth. As a result a hike in the bank rates is possible in coming days. But if the inflation goes out of control then they may end up with a miserable outcome.

It may hamper the long term growth of the nation to a larger extent. The Government should maintain a proper balance between the controlling inflation and protecting growth, he added.