According to former finance minister and Bhartiya Janata Party MP and former finance minister Mr Yashwant Sinha, Budget for 2011-12 will have an inflationary impact.

Mr Sinha at an interactive session organised by Bharat Chamber of Commerce said that "Pranabda is banking on drastic reduction in inflation. However with coal, cement and steel prices shooting up, it will be very difficult for it to come down.”

He said the finance minister had completely ignored to announce steps needed to control inflation. He said that "Inflation is the greatest threat to meet the growth targets for 2011-12.”

The next threat was that of agriculture. He said agriculture continued to remain vulnerable to the vagaries of nature and nothing could be done except to pray for a good monsoon.

(Sourced from ET)