India unveils US$26 billion plan to combat inflationBloombergIndia unveiled inflation-fighting fiscal measures estimated to cost US$26 billion that include lower fuel taxes and import levies, raising speculation the government would expand its bond borrowing program and potentially easing pressure on the central bank. A worker reacts as wheat is poured from a truck at a wholesale market in the Narela District of New Delhi, India, on Sunday. The revenue hit from the fuel tax would likely result in an extra 1 trillion rupees of government borrowing, people familiar with the matter said. The government’s steps follow a recent shift toward inflation fighting by the RBI, which announced a surprise rate hike earlier this month. India had earlier budgeted to raise about 14.3 trillion rupees through debt issuances in the fiscal year through March next year.
