Inflation and price hike

08 Jun, 2015

This refers to a Business Recorder news item "PM for smooth supply of petrol during Ramazan" carried by it on Thursday. According to it, Prime Minister Nawaz Sharif has directed all out efforts for smooth supply of petroleum products and strict adherence to loadshedding schedule during Ramazan.
The Prime Minister is said to have directed the Ministry of Water and Power to ensure that loadshedding should not exceed the specified limit of six hours in urban and eight hours in rural areas, and no loadshedding during Sehr and Iftar time, across the country.
No doubt, these are the much-needed steps that the government has taken ahead of Ramazan to provide relief, however modest, to masses. The PM and his cabinet colleagues have, however, lost sight of a very important issue - prices of essential items. It appears that a lower inflation has bred complacency in the Cabinet, providing it with an excuse to conveniently ignore this issue of high public import. The PM, finance minister and others must remember that inflation and price hike are two different things.

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