November 17, 2007	Saturday	Ziqa’ad 06, 1428

NEW DELHI, Nov 16: India’s inflation rate has risen to 3.11 per cent, driven by higher food and petrol product prices, but still is riding at five-year lows, official data showed on Friday.

India’s wholesale price index, the closest watched cost-of-living measure, showed annual inflation rose 14 basis points to 3.11 per cent for the week ended November 3, up from 2.97 per cent a week earlier.

Eggs and lentils and cooking oil became costlier as did aviation turbine fuel, according to government figures.

Inflation has been hovering at five-year lows thanks to the impact of aggressive monetary tightening measures after hitting two-year highs of nearly seven per cent in early 2007.

The wholesale price-based index stood at 5.45 per cent in the same corresponding week last year.

India, which imports around 70 per cent of its petroleum needs, is keeping a close eye on inflation as crude oil surges close to $100 a barrel. Interest rates are at four-year highs.—AFP