New Delhi: Inflation rose to its highest level this fiscal at 7.81% in September as prices of wheat, cereals and diesel soared, a development that may restrain RBI from cutting interest rates at its monetary policy later this month.
Inflation, as measured by the Wholesale Price Index (WPI), was 7.55% in August. In September last year, however, it was 10%. In the food articles category, wheat turned expensive by 18. In September last year, however, it was 10%. In the food articles category, wheat turned expensive by 18.63%, up from 12.85% in August. Cereals too became dearer by 14.18%, from 10.7% in the previous month. Inflation in diesel shot up to 8.94% during the month, from 0.36%, following government raising prices of the petro-product by over Rs 5 per litre on September 13.