Abstract: This book is a timely look at an important Indian macroeconomic issueinflation.High and persistent inflation has been a serious macroeconomic challenge for India, particularly in the past decade.India's high rates of inflation have been underpinned chiefly by high and persistent rates of food price inflation, which cascade quickly into rural and urban wages and into nonfood inflation.Well-entrenched inflation expectations have also been a key driver of India's high inflation rates.Over the past decade India has increasingly opened itself to the global economy and has become one of the world's fastest-growing economies.As it seeks to sustain rapid growth and improve the welfare of its large and fast-growing population, India also needs to aim for greater price stability.This book documents and analyzes India's long-ongoing quest to bring inflation down.It grew out of the IMF staff 's ongoing policy dialogue with the Indian authorities, in particular at the Reserve Bank of India and the Ministry of Finance.The focus of several of the chapters evolved from the exchange of views with officials from these agencies, and with the many Indian academics interested in these issues.The IMF is contributing to the advancement of the Indian economy through our ongoing policy dialogue, analytical work, and capacity building.I am sure this book will help in this effort and give due recognition to the authorities' efforts directed at taming inflation to reduce poverty, raise domestic consumption and growth, and improve the welfare of over 1.2 billion Indian citizens.