Retail inflation eased to four four-month low of 5.22 percent in December

India’s retail inflation eased to four four-month low of 5.22 percent in December, down from 5.48 percent in the previous month of the current fiscal year, as the rate of increase in food prices slowed. According to data released by the Ministry of Statistics and Programme Implementation (MoSPI), inflation in rural areas stood at 5.76 percent compared to 4.58 percent in urban regions.

The food inflation rate for December 2024, based on the All India Consumer Food Price Index (CFPI), is provisionally reported at 8.39 percent, down from 9.04 percent recorded in November and 10.9 percent registered in



October. The corresponding food inflation rate for rural areas stood at 8.65 percent and for urban areas reported at 7.9 percent.

According to MoSPI, during the month of December 2024, a significant decline in inflation is observed in Vegetables, Pulses and Products, Sugar and Confectionary, Personal care and effects, and Cereals and Products.

India’s retail inflation remained under the central bank’s target in December. The Reserve Bank of India (RBI) aims to keep inflation within a range of 2 to 6 percent, with a medium-term target of 4 percent