Retail inflation in India remained above RBI's upper tolerance band for the second straight month in February 2023, with the Consumer Price Index pegged at 6.44 per cent, government data released on Monday showed.
On January 25, the government said FCI would offload 30 lakh tonnes of wheat from the central pool in the markets under the Open Market Sale Scheme, within the next two months, for containing the rising domestic prices of the staple foodgrain.
India's retail inflation was above RBI's six per cent target for three consecutive quarters and had managed to fall back to the RBI's comfort zone only in November 2022.
India's retail inflation was above RBI's six per cent target for three consecutive quarters and had managed to fall back to the RBI's comfort zone only in November 2022.
According to the latest data released by the ministry of statistics, the retail inflation during the month of December was at 5.72 per cent. The latest figures, released on Thursday, showed a marginal decline and further moderation in retail inflation as compared with the previous month.
India's retail inflation rate based on Consumer Price Index was 5.88 per cent in November from 6.77 per cent during October. Retail inflation in India had remained above 6 per cent till October for over three quarters, which was beyond RBI's comfort zone.
The Quick Estimates of Index of Industrial Production (IIP) are usually released on 12th of every month with a six weeks lag and compiled with data received from source agencies, which in turn receive the data from the producing factories/ establishments.
Morgan Stanley expects India's retail inflation to moderate to 5.4 per cent in 2023-24 and to 4.8 per cent in 2024-25 from 6.6 per cent in the current financial year 2022-23.