The wholesale price based inflation rate continues to fall in the successive third week. It now stands at 11.07 per cent as compared to 11.44 per cent last week. Cheaper food and crude oil prices contributed in softening the inflation. 

Inflation rate is still high despite various measures taken by the government and the reserve bank. RBI is committed to bring the inflation within the moderate limits of 5 to 6 percent. Finance Minister P. Chidambaram said that it would take some time to control the price rise. Department of Economic Affairs Secretary, Ashok Chawla said that inflation rate would come down to 9.5 to 10 per cent by December end.

Price rising declined by 0.36 per cent for the week ended October 11. Low prices of fruits and vegetables, pulses, spices, some petroleum and manufactured products helped in bringing down inflation. The prices of fruits and vegetables, urad and eggs witnessed a marginal decline of two percent each in the last week.

Government is also facing the problem of rupee depreciation against US dollar. It has hit all-time low of 49.68 against US dollar as per current reports.