If FM doesn’t see ‘red’ anymore, it doesn’t represent average family: Chidambaram on retail inflation

Senior Congress leader P. Chidambaram had attacked Finance Minister Nirmala Sitharaman on 13 September Retail inflation rises to 7%Having said that even if she still does not see “red”, it can be concluded that she does not represent the average family in India.

After falling for three months, retail inflation rose to 7% in August due to a rise in food prices.

In a tweet, Chidambaram said, “Just a few days ago, Hon’ble Finance Minister said that inflation was not a ‘red letter priority’ for him. India’s retail inflation rose to 7% yesterday. Food inflation is 7.62 percent.”

The former finance minister said, “If the honorable finance minister still doesn’t see ‘red’, we can only conclude that she does not represent the average family in India.”

The Consumer Price Index (CPI)-based inflation, which is included by the RBI while framing monetary policy, has remained above the central bank’s comfort level of 6% for eight consecutive months. CPI inflation was 6.71% in July and 5.3% in August 2021.

According to data released by the National Statistical Office (NSO) on Monday, inflation in the food articles basket stood at 7.62% in August, from 6.69% in July and 3.11% in August 2021.