Inflation will be moderated: P Chidambaram

New Delhi, Feb 22: The Cabinet Commitee on Prices (CCP), which met here this morning, was apprised of the steps being taken by the government to bring down prices, with Finance Minister P. Chidambaram expressing confidence that with the easing of supply side constraints prices would moderate.

''Inflation will be brought under control by a combination of monetary and fiscal policy measures and easing of supply side constraints,'' Mr Chidambaram told newspersons here while briefing on the CCP meeting.

The Finance Minister said the supply of sugar and potatoes has improved but supply constraints on a number of essential commodities remain.

On being asked whether the ruling high prices of onions worried him, Mr Chidambaram said it was not just the high prices on onion, but high prices of all commodities was a matter of concern.

The Finance Minister gave a categorical assurance that the government will not hesitate to take further steps to curb prices and said he appreciated the problems and hardships experienced by the common man in this regard.

Asked whether the government will take steps regarding forward trading as there was widespread concern that speculative activity was jacking up prices, Mr Chidambaram said the Agriculture Ministry was examining the Report of the Forward Commission and after it finalises its views, appropriate steps will be taken.

UNI

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