Retail inflation eased to an 11-month low of 5.88 per cent in November mainly due to softening food prices.
This is the first time in 11 months that retail inflation has come within the comfort zone of the Reserve Bank of India (RBI), according to data released by the National Statistical Office (NSO) on Monday.
RBI has got the responsibility of keeping the retail inflation rate between 2 to 6 percent.
Consumer Price Index (CPI) based retail inflation was 6.77 percent in October 2022 and 4.91 percent in November last year.
According to the NSO data, food inflation eased to 4.67 per cent last month from 7.01 per cent in the previous month.
Retail inflation had remained above the central bank’s tolerable limit of 6 per cent since January.
Now it has come down to the lowest level of 11 months. In December 2021, the retail inflation rate was 5.66 percent.
Last week, RBI had increased the key policy rate repo by 0.35 percent to 6.25 percent to bring inflation under control.