Inflation eases at a tolerance limit 4.03 per cent

New Delhi, June 29: The headline inflation rate receded to its lowest annual rise since the end of April last year to 4.03 per cent during the week ended June 16 due to a decline in food and manufactured product prices.

It was 4.28 per cent a week ago.

The annual inflation rate was 5.50 per cent during the corresponding week of the previous year, an official statement said here today.

''So far central bank actions have moderated inflation. The rupee rise has also helped moderate inflation to some extent,'' Finance Minister P Chidambaram told reporters on Wednesday in London.

''If inflation is contained at current levels and shows a decline, there is no reason why interest rates should go up,'' he added.

UNI