Retail inflation rate: Inflation at nine-month low, government data shows – ..
India’s retail inflation has reached a 9-month low. The government has released retail inflation figures for March. Retail inflation declined to 4.85 percent in March from 5.09 percent in February. On April 12, the Ministry of Statistics and Program Implementation announced the retail inflation rate. According to the report, retail inflation rate is the lowest since June 2023. In June last year it was 4.81 percent.
Last week, on April 5, the Reserve Bank of India’s monetary policy released the latest inflation data, in which the policy repo rate was kept unchanged. In the monetary policy of the Reserve Bank, the policy repo rate has been maintained at 6.5 percent for the seventh consecutive time. According to Central Bank estimates, the Consumer Price Index (CPI) is expected to increase by 4.5 percent this financial year.
Inflation rate of food products has also reduced
Retail inflation fell to a nine-month low of 4.85 per cent in March due to softening food prices. This information has been given in the official figures released on Friday. Inflation based on Consumer Price Index (CPI) was 5.09 percent in February, while it was 5.66 percent in March 2023.
Retail inflation reached a 9-month low in March. Earlier in October, 2023 it was 4.87 percent. According to the data of National Statistical Office (NSO), the inflation rate of food products was 8.52 percent in March, which was 8.66 percent in February a month ago.
Forecast of normal monsoon this year
The government has entrusted the Reserve Bank with the responsibility of limiting retail inflation to four percent (up or down two percent). The Monetary Policy Committee of the Reserve Bank considers retail inflation data while deciding policy rates. Expecting a normal monsoon this year, the central bank has estimated retail inflation to be 4.5 percent for the current financial year. RBI has estimated retail inflation to be 4.9 percent in the April-June quarter and 3.8 percent in the September quarter.
