The annual rate of inflation, as measured by the Consumer Price
Index (CPI), has already returned to the Bank’s target of 2%. High inflation in
the services sector continues to be a major concern for RBI officials.
Monetary
policy makers see services inflation as the preferred measure of price
pressures and want it to fall sharply to gain confidence for a swing to
normalize UK monetary policy.
Dr. Kamaran Qader Yaqub,
Financial Consultant at Investment Spot
company.
