Financial Times FT.com

India’s inflation at highest in 13 years

By Joe Leahy in Mumbai

Published: June 20 2008 08:43 | Last updated: June 20 2008 20:23

Soaring fuel prices pushed India’s inflation rate to a 13-year high in early June, sharply exceeding expectations and prompting the government to signal further tough action ahead on monetary policy.

Inflation reached 11.05 per cent in the 12 months ended June 7, up from 8.75 per cent the previous week and well above the 9.82 per cent median forecast in a Reuters poll of analysts.

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