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High inflation and Covid-19 are forcing the poor in India to dip deeper into their savings

High inflation and Covid-19 are forcing the poor in India to dip deeper into their savings Economists warn that rising prices may hamper future economic recovery because households would have no money to spend. Punit Paranjpe/AFP Gaurav Kumar Sharma is a heartbroken man. After the lockdown upended his livelihood for more than two months, he was relieved when things slowly returned to normal: shops and markets reopened, and people began stepping out of their homes. But as food inflation spiked due to supply chain disruptions caused by the lockdown, Sharma, 43, who drives an autorickshaw in New Delhi, said that all his hope has turned into gloom.

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