New Delhi: In November, India's retail inflation rate stood at 5.48 percent, a decrease from the 6.21 percent recorded in October, aligning with the Reserve Bank of India's target range of 2-6 percent.
Official data released on Thursday indicated that the inflation rates for rural and urban areas in November were 5.95 percent and 4.83 percent, respectively.
As per the Ministry of Statistics and Programme Implementation's report on Tuesday, food inflation decreased to 9.04 percent in November, down from 10.87 percent the previous month.
The reduction in inflation for November 2024 can be primarily attributed to lower prices in the food and beverages category.
Notable declines in inflation were observed in various subgroups during November, including vegetables, pulses and products, sugar and confectionery, fruits, eggs, milk and dairy products, spices, transport and communication, as well as personal care items.
The five items with the highest year-on-year inflation at the national level in November 2024 were garlic, potato, cauliflower, cabbage, and coconut oil. Conversely, the items with the lowest year-on-year inflation included jeera, ginger, LPG (excluding conveyance), and dry chillies.
August's retail inflation rate stood at 3.65 percent, marking the second lowest figure in the past five years, although it has been on an upward trend since then.
Food prices remain a significant challenge for Indian policymakers, who aim to maintain retail inflation at a sustainable level of 4 percent. However, the latest inflation data reinforces the notion that inflation is currently under control.
Inflation has posed challenges for numerous countries, including those with advanced economies, yet India has effectively managed its inflation trajectory. The Reserve Bank of India (RBI) has maintained a high repo rate of 6.5 percent to help keep inflation in check. The repo rate refers to the interest rate at which the RBI lends to commercial banks.
