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Navigation Primary Navigation Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular Secondary Navigation Singapore Asia Pacific World Search Search: Indian inflation at 10-month low AFP - Saturday, January 10 NEW DELHI (AFP) - - India's inflation rate fell to a 10-month low, government data showed Friday, on the heels of a second government stimulus package announced last week. Annual inflation fell to 5.91 percent from 6.38 percent for the week ending December 27, due to falls in the price of food and manufactured goods, according to official figures. Inflation has fallen sharply from a peak of just over 12 percent in August. Economists said the central Reserve Bank of India (RBI) was expected to lower interest rates at its next scheduled monetary policy meeting, on January 27. "We see a sharp drop in manufacturing prices. We expect a further price correction in coming months," said Siddhartha Sanyal, economist with Edelweiss Securities. Analysts expect the RBI to cut short-term lending rate by 50 basis points. "The RBI could lower rates further, but it is crucial for other banks to follow suit" and cut lending rates, said D.K. Joshi, principal economist with rating agency Crisil. Various Indian government officials have projected economic growth of between seven and eight percent for the year to March 2009, down from nine percent. However, many economists forecast growth of around 6.8 percent this year and as low as 5.5 percent the following year. Email Story IM Story Printable View Blog This Recommend this article Average (0 votes) Sign in to recommend this article » Most Recommended Stories » Related Articles: China's Economy Disney plans to build Shanghai theme parkAP - 20 minutes ago Indian government boots out directors of fraud-hit IT firmAFP - 1 hour 32 minutes ago Mexico central banker: 4Q economic growth negativeAP - 2 hours 29 minutes ago Indian oil workers end crippling fuel strike: officialsAFP - Saturday, January 10 Related Articles: Business U.S. judge rules against Rambus in Micron caseReuters - 14 minutes ago Seattle Post-Intelligencer up for saleAP - 16 minutes ago Hopes for resumption of Russian gas supplies sinkAP - 17 minutes ago Robert Rubin quits Citigroup; Citi's shares dropReuters - 20 minutes ago Disney plans to build Shanghai theme parkAP - 20 minutes ago Enlarge Photo Indian inflation at 10-month low Related Photos Slideshow Full Photo Coverage: Business & Economy Related Full Coverage China Economy china economy All Full Coverage Most Popular – Business Viewed Marks & Spencer to axe 1,230 jobs and close 27 stores Citigroup: 2-billion-dollar exposure to LyondellBasell Finance fights sex for Aussie dictionary honour Israel presses on with Gaza strikes despite UN resolution Half the planet could be hit by food crisis by 2100: study View Complete List » Search: Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular

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