Inflation rises from record low

Retail inflation rises to 0.71% in Nov on higher food prices

- REUTERS

India's retail inflation rose in November from a record low in the prior month but stayed below the central bank's target range for the third straight month, data showed Friday, leaving scope for another interest rate cut.

The print suggests that retail price rise may undershoot the Reserve Bank of India's 2% inflation forecast for this fiscal year by about 15 to 20 basis points, opening space for another 25 basis point rate cut, economists said.

Annual inflation quickened to 0.71% in November from 0.25% a month ago as the pace of decline in food prices slowed. The print was in line with a Reuters poll of economists.