The rate at which prices rose has put a financial squeeze on the middle class. NEW DELHI – Mr Omji Dubey has always been partial to a good comedy show. But permitting himself this luxury nowadays – with ticket prices ranging from 100 rupees (S$1.
60) for open mic nights to 5,000 rupees for comedy festivals – has forced the 22-year-old to cut back on other expenses. The reason is a spike in retail inflation in India, which hit a 14-month high of 6.21 per cent in October.
The rate at which prices rose has put a financial squeeze on the middle class, forcing millions of people like Mr Dubey to tighten their belts. Mr Dubey, who works in the IT sector, said that enjoying his one luxury at the end of every work week has required him to rationalise his expenditure in other areas, making “small adjustments”. A resident of Gurugram, a satellite city of capital New Delhi, he has stopped eating out at restaurants every weekend like he used to do until 2023, and now restricts himself to dining out once or twice a month.
He has also reduced his consumption of packaged, ready-to-eat food items in exchange for home-cooked meals, which are cheaper. “Even so, my salary is barely enough to make it to the end of the month,” he told The Straits Times. The surge in retail inflation has been driven by food inflation, which hit 10.
87 per cent in October, adding even more pressure on household budgets. In particular, a spike in vegetable prices of 42.18 per cent in October compared wit.
