People see price rise in 3 months
The overall sentiment is mainly driven by expectations for prices of food products and cost of services
By : DC Correspondent
Update: 2015-08-07 01:52 GMT
Mumbai: A survey of households across the country by the RBI reveals that in terms of qualitative response, the proportion of respondents expecting prices to rise by ‘more than current rate’ has increased as compared to the previous round of survey for both three-month and one-year ahead period for most of the product groups except housing prices.
However, majority of the respondents continue to expect similar or lower rate of price change or expects the prices to remain unchanged or even fall. The Inflation Expectations Survey of Households for June 2015 (40th round), captures the inflation expectations of 4,994 urban households across 16 cities.
The Reserve Bank says the overall sentiment is mainly driven by expectations for prices of food products and cost of services. The current perceived inflation as well as expected inflation for next three months and next one-year increased marginally in the June 2015 round.
With regard to employees, other than those from the financial sector, housewives and retired persons have comparatively higher inflation expectations for the next three months period based on median inflation rates. Respondents from Guwahati, Jaipur, Ahmedabad, and Bhopal cities expect relatively higher inflation for next three months.