New Delhi: Retail inflation in India, based on the Consumer Price Index, eased to a five-month low of 4.31 per cent in January 2025. This decline was mainly due to lower food prices.
The Consumer Price Index (CPI)-based retail inflation was 5.22 per cent in December, and 5.1 per cent in January 2024. The previous low was recorded in August 2024, when the retail inflation had stood at 3.65 per cent. The inflation in the food basket was 6.02 per cent, lower than 8.39 per cent in December and 8.3 per cent in the year-ago month.
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The Reserve Bank of India (RBI) has been asked to ensure retail inflation remains at 4 per cent with a margin of 2 per cent on either side.
Wholesale Price Index (WPI) is a measure of the average change in the price of goods at a wholesale level or in the wholesale market. Consumer Price Index (CPI) is a price index that calculates price changes of goods and services that a consumer has to pay in the retail market. The monetary police of Reserve Bank of India are made after reviewing the CPI.