Food Prices Can't Be Overlooked For Inflation Targeting, Says Das

CONTRARY to the views expressed in the Economic Survey regarding the exclusion of food from retail inflation calculations, RBI Governor Shaktikanta Das on Thursday emphasised that food inflation cannot be overlooked due to its significant contribution to the overall consumption basket.

- MONIKA YADAV

According to Das, at the forefront of RBI's focus is headline inflation, with food inflation accounting for approximately 46% of the consumer price index (CPI). "...

Further, the public at large understands inflation more in terms of food inflation than the other components of headline inflation. Therefore, we cannot and should not become complacent merely because core inflation has fallen considerably," he said.