Reply #36: RBI says it has no magic wand to bring down inflation

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http://timesofindia.indiatimes.com/business/india-business/RBI-says-it-has-no-magic-wand-to-bring-down-inflation/articleshow/8890553.cms

NEW DELHI: After having raised its key policy rates 10 times in a year-and-a-half to check inflation, which remains stubborn, the Reserve Bank of India on Friday said it has no magic wand to bring down the rate of price rise.

"You all want that inflation should come down. Neither the ministry of finance nor the RBI has any magic wand to bring down inflation," RBI deputy governor K C Chakrabarty said at an Assocham meet here.

Inflation, as measured by the Wholesale Price Index (WPI), was over 9 per cent in May.

Despite RBI's monetary policy tightening regime and steps of the government, inflation continues to remain high.