India’s retail inflation eased to a four-month low in December, primarily due to a slower rise in food prices, according to provisional data released by the Ministry of Statistics and Programme Implementation (MoSPI) on Monday.
The Consumer Price Index (CPI)-based annual retail inflation stood at 5.22% in December, down from 5.48% in November. This figure also marked a decline compared to 5.69% recorded in December of the previous year.
The latest inflation rate remains within the Reserve Bank of India’s (RBI) medium-term target range of 2-6%.
Food inflation, a significant contributor to overall inflation, rose by 8.39% year-on-year in December, lower than the 9.04% increase in November and 9.53% in the same period last year. In earlier months, food inflation was notably higher, with rates of 10.87% in October, 9.24% in September, and 5.66% in August.
While food inflation moderated overall, specific categories like meat and fish, eggs, and fruits witnessed sharper price increases in December compared to November. The inflation for food and beverages rose by 7.69% in December, compared to 8.20% in the preceding month.
Several states, including Andhra Pradesh, Delhi, Gujarat, Himachal Pradesh, Jharkhand, Maharashtra, Rajasthan, Telangana, and West Bengal, reported lower inflation rates than the national average during the month.
