A day after the US Federal Reserve's decision to raise interest rates by 75 basis points, Economic Affairs Secretary Ajay Seth has said that the government does not see any adverse impact on the Indian economy post the US Federal Reserve's decision.
Economic Affairs Secretary noted that all central banks are grappling with it and taking adequate measures which are needed to control the inflation. He further said ‘I see fair amount of coordination...directly or indirectly they are moving in tandem.
On the inflation front, Seth said inflation in India is mainly because of high energy and food prices and hoped that it would moderate in the coming months. Meanwhile, the US Federal Open Market Committee raised the target range for federal funds rate by 75 basis points to 1.50-1.75 per cent. It also said it would hike rates aggressively in the rest of the calendar year.
