New Delhi, Sep 14 (ANI): Expressing concern over the rising inflation, the Chief Economic Adviser to the Finance Ministry, Kaushik Basu, on Wednesday said it is not an unexpected phenomenon, while asserting the current trend would continue till December 2011.
"The inflation situation is uncomfortable, a matter of concern. At the same time, there is nothing unexpected that has happened, this is a predicament that most emerging economies in the world are having to deal with," Basu told media persons here.
Basu further revealed that the current trend would continue till December 2011.
"The December month should see a sharpish decline in inflation, so basically, from the tail end of this year to the three months of the next calendar year," he said.
The veteran economist also conceded that there was not much the government could do at present to stem the weakening of the Indian rupee and related the prevailing trends to the global scenario.
"The global situation being volatile, there is a rush to find safe havens for money and that is probably causing the rupee exchange rate changes being caused by that. So, there isn't anything much we can do about it right now," said Basu.
Headline inflation inched closer to the double-digit mark in August, rising to 9.78 per cent on the back of soaring prices of food and manufactured products. (ANI)
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