Ghost of inflation continues to haunt Mint Road

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Despite average inflation in 2012-13 falling to 7.3 per cent from 8.9 per cent a year ago, and the central bank's own projection for March 2014 inflation at five per cent, RBI Governor D Subbarao seems to be in no mood to lower the guard.

According to Subbarao, who may have delivered his last annual policy on Friday, monetary policy action, by itself, cannot revive growth.