Inflation rises to 11.98 per cent

New Delhi, July 31 (DNS) Inflation rose to 11।98 per cent for the week ended July 19, as some food and manufactured products turned dearer.

The moderation in inflation a week earlier to 11।89 per cent turned out to be an aberration as the rate of price rise is now a just a tad below the crucial 12 per cent। It has been rising unabatedly since petrol prices were increased by the Government on June 5.

Prices of pulses, fruits and spices went up as did the rates some manufactured products items।

Inflation stood at 4।65 per cent in the corresponding week a year ago.

This is the first official data on inflation after the Reserve Bank increased the short-term lending (repo) rate by 50 basis points to 9 per cent and also raised the mandatory deposits (CRR) that banks have to park with it by 25 basis points to cool down the rate of price rise।

However, the exact effect of these measures will be known after some time only as official data is released with a two week lag and hike in CRR would come into effect only after August 30।

Announcing the first quarterly review of the credit policy RBI Governor Y V Reddy had said that the main thrust of the policy would be to bring down inflation to 7 per cent by March, 2009।

Earlier, the apex bank had set the attempt to bring down inflation close to 5 per cent by end of this fiscal and lower it further to 4-4.5 per cent with a medium-term objective of 3 per cent.

Maya in campaign mode

July 30: In a bid to prove her might beyond UP, BSP supremo Mayawati has decided to set in motion the party’s campaign well in advance in four election-bound states of Delhi, Madhya Pradesh, Rajasthan and Chhattisgarh।

Ms Mayawati is expected in Delhi on Friday for a series of meetings with state unit party functionaries। At the meeting she will not only talk about the strategy to be adopted in the run-up to the elections, she also finalise names of the candidates for a few Lok Sabha and Assembly constituencies. Ms Mayawati has asked the party units of Delhi, MP and Chhattisgarh to mobilise people for the August 9 rally in Lucknow, which will set the agenda for the party’s growth out of UP.

"UP chief minister Mayawati is coming to Delhi on Friday, when she will take stock of the party’s chances in the forthcoming Delhi Assembly elections। Apart from mobilising the workers for the Lucknow rally, she is likely to finalise the strategy for the state polls," said a senior BSP leader. Following the directions from "bahenji", most of the state unit chiefs have started working in their respective states. "We are mobilising people in our areas. The strength of the party in the state will be reflected in the number of people that we take to Lucknow for the rally," said BSP president of MP, Bhujbal Singh Ahirwal.

Sources said that the BSP supremo will carry out intensive tours of MP and Chhattisgarh apart from Delhi after the Lucknow rally. "The directions are clear to the state party units. The party has to make its presence felt in big ways in Delhi, MP and Chhattisgarh, which are on top of the party’s agenda for growth out of UP," said a party functionary. Delhi, Chhatisgarh, MP along with Rajsthan will go for state polls in November this year.

Indians have not shown mental alertness

Sri Lanka in these months can get extremely muggy, but that’s not the only reason why the Indian team will be feeling discomfited when it takes the field in the second Test beginning today। Badly beaten in the first, the players will be under acute pressure. A defeat here means the series is lost too, and with that will sink much of the goodwill and ranking that was earned in the past year.

It is not possible for any team to win every time; in any case, the Indian team cannot boast to be the best in the business। But so abject was the performance in the first Test that it has riled the sensibilities of cricket lovers and aficionados.

Such a rout suggests that the problem could be something more serious than just a one-off setback। As against Australia, the Indian team could come back strongly, but it will not be easy in these conditions.

The wickets Down Under earlier this year were batsmen friendly, and the players themselves appeared fit and enthusiastic for battle। From what has been in evidence in Sri Lanka yet, the pitches are not poor, but need getting used to. This requires some time, which the itinerary did not permit what with only one three day game before the first Test.

More damagingly, India’s players have not shown the same levels of physical fitness and mental alertness that was witnessed during the Australian tour. There is a jadedness about the side, perhaps because of the excessive cricket played over the past six months. How to beat this will be the big test for Kumble and his men even before they take the field today.

CPI(M) not to support Congress in future

New Delhi (DNS): After the break over the nuclear deal, the CPI (M) has ruled out supporting the Congress in forming the government at the centre।

It also parried questions over projecting BSP supremo Mayawati as the Prime Ministerial candidate by non-Congress and non-BJP parties in the next Lok Sabha elections।

"If you think we are going to support a Congress government, I don't know, I think people will accuse us of opportunism," CPI(M) General Secretary Prakash Karat told Malayalam television channel "Kairali TV"।

He also raised a question as to why only the possibility of the Congress and BJP forming a government is raised।

"So, why do you think that there can only be a BJP-led government or a Congress-led government," he said adding there could be a third force, which could also be in that position।

Asked about projecting BSP supremo Mayawati as prime minister, he said they do not look at it in terms of individuals being projected।

"Hopefully, we will be able to present some third force in the forthcoming Lok Sabha elections। We don't look at it in terms of individuals being projected as Prime Minister," he said.

Karat said that what the Left was looking for was that "there is a possibility today to have some combination which will not just reduce the country's politics to a Congress-led alliance and a BJP-led alliance"।

Replying to another question whether coming together of the Left with parties like the BSP, which have aligned with the BJP in the past, would create a durable Third Alternative, he said the Left was not going to project such an alternative।

"Be very clear, I didn't use the word Third Alternative। I have not talked about the Third Alternative...Our party's understanding of the Third Alternative is not some combination to fight elections. The Third Alternative has to be in terms of policies and programs," Karat said.

Karat said that political parties which were not part of the Congress and BJP led coalitions joined forces only after realising they had a common agenda - opposition to the nuclear deal।

"Its only after we withdrew support, we said we would contact all the secular parties who opposed the deal and who can plan with us to vote against the UPA government। And as part of the process, I met Mayawati, Ajit Singh, Deve Gowdaji.....We met all of them and then came to a common understanding," he said.

Karat sought to downplay the erstwhile UNPA (led by the Samajwadi Party) and said he never considered it a part of the Third Front।

"In our party congress held in April, we said the Third Alternative is not there। We didn't even consider the UNPA, which was headed by the SP to be a Third Alternative. We told them this is not the alternative we are thinking of," he said.

The CPI(M) leader said he told UNPA that the Left parties could co-operate with them on important issues like price rise, farmers' issues or the nuclear deal।

"But the Third Alternative means something more stable, something more based on a programme," he said.