look news india
CPI inflation November: India’s retail inflation declined by 5.48 percent on a monthly basis in November due to falling food prices. Which reached its highest level of 14 months at 6.2 percent in October. The Central Government has said that there has been relief in inflation in November due to reduction in the prices of vegetables and fruits. Inflation rate on food items decreased to 9 percent in November as compared to 10.9 percent in October. It is noteworthy that there has been no significant reduction in the prices of food items in the retail market.
Inflation stable on annual basis
According to the official data released by the Central Government, the country’s retail inflation rate has remained stable year after year. Last year, in November 2023, the retail inflation rate was recorded at 5.55 percent. Retail inflation has remained above 5 percent for the third consecutive month. The high rate of inflation kept monetary policy interest rates unchanged for the fifteenth time. According to economists, there is a possibility of reduction in inflation from January. In such a situation, there is a possibility of interest rate cut by 25 bps in the monetary policy meeting in February.
Food prices fell on a monthly basis
The retail inflation rate of food items has been recorded at 9.04 percent in November. Which was 10.87 percent in October. However, annual food inflation is still high. In November, 2023 it was 8.70 percent. According to the NSO, retail inflation eased in November 2024 due to a significant decline in prices of items including vegetables, pulses-cereals, sugar, fruits, milk and milk products, transport, communication, spices and personal care.
