Manmohan confident of taming inflation

Prime Minister Manmohan Singh has expressed confidence of taming inflation in the coming months.

Delivering a speech at a function organized by Karnataka Pradesh Congress Committee in Bangalore yesterday, Singh said he was satisfied with the measures taken by his Government to bring the rising inflation in the country to reasonable levels.

“I am satisfied and confident that we will tame inflation in the coming months and bring it back to reasonable levels”, Singh said addressing the gathering.

Singh’s assurance to contain inflation comes ahead of the assembly elections in Karnataka polling for which is scheduled to be held on May 10, 16 and 22.

Acknowledging the concerns over rising inflation in the country, Singh sought to lend a global dimension to the crisis and pointed to the rising price of oil. “Oil prices, which were around US $ 35 a barrel during 2004, had now touched US $ 120. International prices of food grains and commodities too had risen substantially”, he said.

The Prime Minister said his Government has made efforts to shield the poor from the impact of rising inflation. He said the Government had not touched the price of rice and wheat supplied through the public distribution system to the poor. At the same time, the support price for wheat and rice given to farmers has doubled.

“This year, we hope to have a bumper crop and the procurement has been excellent”, he said.

Although inflation went up, Manmohan Singh said, his Government had delivered outstanding growth that has touched every section of the society. “On the economic front, inspite of recent worries on inflation, our record has been a stellar one”, he said.