Will hike in petrol prices hurt your budget?
IOC, BPCL and HPCL raised petrol prices by 5 rupees a litre from Sunday, a move that is bound to hit the common man’s pocket.
Though this will prove to be a relief for state-run oil firms, it can have an impact on inflation as well.
Brokerage Nomura said in a report late last month that even a 10 percent hike in petrol and diesel prices would add around 70 basis points directly to headline inflation. Finance Minister Pranab Mukherjee has said inflation is likely to remain at elevated levels between 7-7.5 percent during FY12.
How is this hike seen affecting your daily budget and is it likely to change your spending habits?