According to a survey, more than 60% of urban Indians expect inflation to rise.

New Delhi, India – According to the November Ipsos Global Inflation Monitor, urban Indians expect inflation to rise further in the next 12-18 months. Consumers also anticipate higher interest rates and taxes.

"At least 65% of urban Indians and 69% of global citizens polled expect inflation to rise further. Furthermore, 58% of urban Indians expect interest rates to rise, taxes to rise (56%), and unemployment to rise (59%). When asked about the top reasons for price increases, at least 70% of urban Indians polled blamed it on businesses making excessive profits, the country's interest rate levels (69%), and national government policies (69%) "according to survey results released on Friday

While key commodity inflation has slowed, the impact of high prices is still felt by households.

"An intriguing new angle for price rise is emerging. Marketers frequently offset the impact of rising input costs by passing on the burden to consumers via the shrinkflation route, though they have been extremely cautious by either retaining the price points by decreasing the grammage or size of the SKU or absorbing the cost. The full impact of the global economic slowdown, Ukraine war, and Covid-19 pandemic are lower on the list of the top causes of price rises and inflation "According to Amit Adarkar, CEO of Ipsos India.

Despite inflation, one in every two urban Indians expects their standard of living to improve in the next year. Meanwhile, one in every two urban Indians expects their disposable income to rise in the coming year.

Overall, India was the third most optimistic market, trailing only Thailand and the United Arab Emirates. Global citizens were more pessimistic about the improvement of living standards and disposable incomes.