For the week ended May 31, the Indian inflation figures reached to 8.75%, accelerating to its fastest pace in the last seven years unabated from the last week’s 8.24%, fueled by increasing commodities as well as energy costs, which threatened to eat away company profits.

The rising prices of food and vegetables accounted for a 0.51% increase in inflation, as compared to the last week’s figures.

Foods and vegetables, cereals, milk, spices and a few manufactured products, including mustard oil and groundnut oil grew increasingly dearer this week.

In an effort to control inflation, the Reserve Bank of India (RBI) has increase its repurchase rate to a 6-year high of 8% from 7.75% on Jun. 04, led by increasing costs of commodities, food and energy.

But, the recent acceleration of the inflation index has propelled worries that it would cross the 9% mark shortly.