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Retail inflation eases; analysts paint a positive outlook
The Daily Guardian
|May 14, 2025
India's retail inflation has moderated to 3.16% in April, down from 3.34% in March, according to official data released by the Ministry of Statistics and Programme Implementation on Tuesday.
This is the lowest year-on-year inflation since July 2019.
The decline in inflation is attributed to a decrease in prices of vegetables, pulses and products, fruits, meat and fish, personal care and effects and cereals and products.
Effectively, headline inflation declined 18 basis points in April 2025 compared to March 2025.
The year-on-year inflation rate based on All India Consumer Food Price Index (CFPI) for April 2025 over April 2024 is 1.78 per cent (Provisional).
The inflation rate is within the Reserve Bank of India's (RBI) manageable range of 2-6%.
Retail inflation last breached the Reserve Bank of India's 6 per cent upper tolerance level in October 2024.
Since then, it has been in the 2-6 per cent range, which the RBI considers manageable.
Food prices were a concern for Indian policymakers, who wished to sustain retail inflation around 4 per cent.
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