Inflation ‘comfortable’ soon: Dec

India headline inflation will ease into a comfortable zone by December,Montek Singh Ahluwalia,deputy chairman of the Planning Commission,said on Monday.

India’s central bank on Friday raised interest rates earlier than expected,ahead of its July 27 policy review,days after the government freed up fuel prices. Analysts expect another 25-basis points hike on July 27,on concerns over inflation hovering above 10 per cent.

The RBI projects headline inflation,which hit 10.16 per cent in May,to fall to 5.5 per cent at end-March.