From correspondents in Delhi, India, 05:30 PM IST

Inflation is a short-term challenge, arising out of crude oil price increase, Planning Commission Deputy Chairman Montek Singh Ahluwalia said here Wednesday.

'It is properly handled and should not affect the medium-term average growth rate of 9 percent,' he said on the sidelines of a function.

Referring to the current fiscal, Ahluwalia said the growth rate could be 8 percent or "a little less than that, say around 7.9 percent".

India's annual rate of inflation hit a 13-year high of 11.42 percent for the week ended June 14.

(Staff Writer, © IANS)