India’s Retail Inflation Rate rises to 6.93 percent in July, reveals government data.
The retail inflation of India measured by the Consumer Price Index (CPI) rose to 6.93% in July.
According to the latest data released by the Ministry of Statistics & Programme Implementation (MoSPI), India’s retail inflation rate surged to 6.93 percent in July. The main reasons for the rise have been accredited to higher food prices. The retail inflation rate of the country is measured by the Consumer Price Index (CPI), and as per the revised data, the retail inflation rate in June was revised from 6.09 percent to 6.23 percent. Before the release of June’s data, the government had not revealed the headline retail inflation data in April and May. However, a revision in CPI data for March from 5.91 percent to 5.84 percent, was released in April by the government.
Retail Inflation Rate goes beyond the RBI’s upper margin of 6 percent:
This spike in the retail inflation rate meant that it has grown beyond the Reserve Bank of India (RBI)’s upper margin of 6 percent. The Indian central bank has been mandated by the government to keep inflation within the range of 4% with a margin of 2% on both sides.
Overall inflation grew in all segments of food prices:
The Consumer Food Price Index (CFPI) jumped to 9.62 percent in July. Due to the rise of 15.92 percent (compared to previous July), in prices of pulses and products, the inflation rate has grown, believed experts. Also, the meat and fish segment rose by 18.81 percent, while that of spices gained 13.27, and oils and fats increased by 12.41 percent. With a rise of 11.29 percent, the inflation in the vegetable segment also grew. The RBI is hoping that with Unlock 3.0 and a good monsoon, the inflation rate will come under the upper limit of 6 percent.
