CPI inflation News

The RBI has also revised its inflation outlook for 2025-26 downwards from the earlier forecast of 4 per cent to 3.7 per cent, Reserve Bank Governor Sanjay Malhotra said on Friday. 

Both the rural and urban segments of the economy are witnessing softening of CPI inflation, with 2.92 per cent and 3.36 per cent in April in comparison to 5.43 per cent and 4.11 per cent, respectively in April.

The moderation was driven by record low core inflation at 3.5 per cent (vs 4.3 per cent in fiscal 2024), while food inflation was volatile and high at 7.3 per cent (vs 7.5 per cent). 

India's CPI inflation dropped to 3.61 per cent in February, marking the first time in six months that it fell below the RBI target of 4 per cent. 

The top five items showing the highest year on year Inflation at the All India level in January are coconut oil (54.20 per cent), potato (49.61 per cent), coconut (38.71 per cent), garlic (30.65 per cent), peas [vegetables] (30.17 per cent). 

Inflation had eased to a 12-month low of 4.75 per cent in May after having come down to 4.83 per cent in April.

CPI inflation had come down to 4.83 per cent in April, which was an 11-month low and the declining trend is continuing.

Monsoon has knocked in North India. Due to the monsoon, the prices of vegetables have increased a lot. After which people who used to buy 1-1 kg of vegetables are now buying only 250 grams.

A negative WPI inflation, technically termed as deflation, means that overall wholesale prices have been falling year-on-year. 

The Consumer Price Index (CPI) inflation for April 2022 stands at 7.79% as against 6.95% in March 2022 and 4.21% in April 2022, official data showed on Thursday.

Macroeconomic outlook is undergoing tectonic upheavals, necessitating proactive measures. RBI's approach will remain sophisticated and nimble, added Das.

The CPI inflation was at 5.3 per cent in August and at 7.27 per cent in September 2020. Previously, the CPI was low at 4.23 per cent in April 2021. However, the inflation was higher in the case of fuel and light at 13.63 per cent in September compared to 12.95 per cent in August.

Real gross value added (GVA) is expected to decline by 1.7 per cent this fiscal but record 6.8 per cent growth in 2021-22.

The CPI-based inflation has been on the rise since August 2019, and it is for the first time it has moved southward since then.

Retail inflation is a crucial data point, keenly watched by the Reserve Bank while deciding its monetary policy.

Manufacturing sector growth was at 2.7%.

Retail inflation stood at 4.88 percent in November 2017.

CPI inflation was at 3.58 percent in October 2017 and has remained above RBI's targeted rate of 4 percent since then.

India`s retail inflation rate slowed to 4.17 percent in July on smaller increases in food prices.

April was the sixth straight month in which inflation was higher than the Reserve Bank of India`s medium-term target of 4 percent.