Remaining below the Reserve Bank of India’s (RBI) 4 per cent inflation target for the second time in nearly five years, India’s consumer price index (CPI)-based headline retail inflation stood at 3.65 per cent in August. Separately, the growth in the index of industrial production (IIP) increased to 4.8 per cent in July from the upward revised figure of 4.7 per cent in the preceding month.
The data released by the National Statistical Office (NSO) on Thursday showed that food inflation rose slightly to 5.66 per cent from 5.42 per cent in July, driven by acceleration in the prices of fruits (6.45 per cent), vegetables (10.71 per cent), and non-alcoholic beverages (2.40 per cent).
Earlier, in the customary post-monetary policy committee (MPC) statement last month, Reserve Bank of India (RBI) Governor Shaktikanta Das had said that the headline inflation, after remaining steady at 4.8 per cent during April and May 2024, increased to 5.1 per cent in June, primarily driven by the food component, which remains stubborn.
In IIP, the increase in growth was led by acceleration in manufacturing (4.6 per cent) during July. Growth in mining (3.7 per cent) and electricity (7.9 per cent), however, decelerated during the month. In the use-based categories, the growth declined in three of the six categories.
First Published: Sep 12 2024 | 6:12 PM IS