Creeping inflation (1-4%) When the rate of inflation slowly | UPSC CSE 2023 UPSC Prelims 2023 2024

Creeping inflation (1-4%)

When the rate of inflation slowly increases over time.

For example, the inflation rate rises from 2% to 3%, to 4% a year. Creeping inflation may not be immediately noticeable, but if the creeping rate of inflation continues, it can become an increasing problem.