The inflation rate declined from an average of 11.0 cent during 1990-95 to 5.3 per cent during the second half of the 1990s. In the recent years, inflation rate has averaged around 5 per cent.
In recognition of India's evolving integration with the global economy and societal preferences, the resolve, going forward, is to condition policy and expectations in the range of 4.0-4.5 per cent in the medium term. It may be of interest to note that, since independence, the Wholesale Price Inflation on average basis was above 15 per cent in only five out of fifty years.