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TACKLING INFLATION
BUSINESS ECONOMICS
|March 1-31, 2025
India's retail inflation stood at 4.31 percent in January, marking a five-month low and a crucial moment in economic policy.
This moderation strikes a rare balance between price stability and economic stimulus, creating room for potential rate cuts and further policy interventions.
A key factor in the decline was the slowdown in food price inflation. Vegetable prices, which had surged by 26.6 percent in December, grew at a significantly lower rate of 11.35 percent in January. Similarly, pulses and cereals also witnessed a downward trend in price growth. However, this relief may be shortlived.
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