Independence Day 2023: PM Modi vows to curb inflation as food prices spike

PM Modi donned a Bandhani print turban from the poll-bound Rajasthan as he delivered his 90-minutes long speech

Prime Minister Narendra Modi said on August 15 that his government was working to mitigate the impact of rising food prices on the citizens, as retail inflation in July spiked to a 15-month high of 7.44 percent.

Addressing the nation from the ramparts of the Red Fort on Independence Day, Modi talked about the inflation-induced headwinds in India, as he recounted the steps taken by the Centre to protect the economy from the coronavirus-induced global economic crisis and keep prices in check.

"The world has still not recovered from the Covid-19 pandemic. The war has also given rise to another crisis. Inflation has impacted the global economy," the Prime Minister said.

It was unfortunate that while importing goods from other countries, India also "imports inflation". "However, India has put in all efforts to control inflation,” Modi said, adding the country was doing better on price front than several other global economies.

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The statement comes a day after India's July retail inflation rose sharply in July to 7.44 percent from 4.87 percent reported in June.

The retail inflation print surpassed the upper limit of the Reserve Bank of India's (RBI) 2-6 percent tolerance range. The spike was spurred by a massive increase in vegetable prices, data released by the ministry of statistics and programme implementation on August 14 showed.

Also Read: July retail inflation at 15-month high of 7.44%

In its recent policy meet, the RBI raised it inflation forecast for the current financial year to 5.4 percent from 5.1 percent, citing rising food prices.

The concern seems to weigh on Modi as well. "We cannot be content only because our situation is better than the rest of the world. We need to take more steps to see that the burden of inflation further reduces on our citizens,” the Prime Minister said.

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