Indian inflation rose in August to 7.55 percent on a 12-month basis, official data showed on Friday, further reducing the chances of an interest rate cut from the central bank next week. India’s central bank will meet in Mumbai next Monday to consider its interest rate policy where it will also have to consider a 12-percent rise in the price of diesel ordered by the government that will push inflation higher. The Wholesale Price Index rose to 7.55 percent from 6.87 percent in July, which was a near three-year low. The diesel price hike, announced late Thursday, was hailed by some as a sign of intent by the government that it is prepared to tackle difficult economic reforms and the widening hole in the public accounts.
