Retail inflation, based on Consumer Price Index (CPI), slipped to 6.83 per cent in August this year. According to the Ministry of Statistics and Programme Implementation data released today, rural areas saw a slightly higher inflation rate at 7.02 percent compared to urban areas at 6.59 percent.
CPI for the last month fell from 15-month high of 7.44 per cent in July, mainly due to a declined in vegetable prices. The Consumer Food Price Index (CFPI) for August stood at 9.94 percent falling from 11.51 percent in July.
The retail inflation still remains above the the Reserve Bank of India’s upper tolerance limit of 6 per cent. The Government had mandated the Central Bank to maintain retail inflation at four per cent with a margin of two per cent on either side.
Comments are closed.