Will the real Indian inflation rate please stand up?

Mumbai

A RECORD discrepancy between India's two main measures of inflation has clouded the outlook for interest rates and spurred debate over the central bank's policy target.

Wholesale prices, at one time the main gauge, are falling - something that might have triggered a rate cut back in 2013. Yet, consumer prices, which are favoured by governor Raghuram Rajan, are climbing more than a percentage point faster than at the end of last year.