New Delhi: According to government data on Friday, retail inflation eased to an 18-month low of 4.7 per cent in April due to fall in food prices. This was the second month in a row that consumer price index (CPI) based inflation remained in the RBI’s comfort zone of below 6 per cent.
Retail inflation based on the Consumer Price Index (CPI) stood at 5.66 per cent in March 2023 and 7.79 per cent in the year-ago period. Retail inflation in April is the lowest since October 2021 when it was 4.48 per cent. ,Read also: Meet Linda Yacarino, the woman rumored to be Twitter’s new CEO — in pictures,
According to the National Statistical Office, inflation in the food basket stood at 3.84 per cent in April, compared to 4.79 per cent in March and 8.31 per cent in the year-ago period.
Retail inflation is projected to increase from 5.7 per cent in December 2022 to 6.4 per cent in February 2023 on higher prices of cereals, milk and fruits and a slower decline in vegetable prices.
The Reserve Bank of India forecast CPI inflation for fiscal year 2023-24 at 5.2 percent, 5.1 percent in Q1, 5.4 percent in Q2, 5.4 percent in Q3, and 5.2 percent in Q4, and risks evenly balanced.