Inflation for November eased to 5.4% as leaf prices eased, falling within the RBI’s tolerance limits.

The fall in commercial prices was reduced to 5.48 percent in November compared to 6.21 percent in October, mainly due to the reduction in food prices, especially vegetables, according to government data released on December 12. The latest figures are in line with the high level of tolerance to RBI of 6 percent.

“In the month of November 2024, a significant decrease in inflation is observed in vegetables, vegetables and products, sugar and confectionary, fruits, eggs, milk and spices, spices, transport and communication and personal care and social effects,” NSO said. in a sentence.

According to the Consumer Price Index (CPI) data released by the National Statistics Office (NSO), food price inflation decreased to 9.04 percent in November. It was 10.87 percent in October and 8.70 percent in November 2023.

Retail inflation has remained high and food prices have been volatile and have often breached the RBI Monetary Policy Committee’s target range of 2 percent to 6 percent. In October, retail price inflation came in at a staggering 14-month high of 6.21 percent and inflation in the 57-month high of 42.2 percent.

Last week, the Reserve Bank raised the inflation rate for the current economy to 4.8 percent from 4.5 percent. It also said that lower food prices are expected to lead to an increase in inflation in the month of December.

The consumer price index (CPI) based on inflation increased from an average of 3.6 percent in the month of July-August to 5.5 percent in September and further to 6.2 percent in October 2024.

In October, inflation rose to 6.2 percent, exceeding the Reserve Bank of India’s (RBI) target of 6 percent. This was the first time in 14 months, starting in August 2023, that inflation exceeded this rate. The increase was mainly driven by higher food prices, especially vegetables.

Meanwhile, data from the Ministry of Statistics showed that industrial output, as measured by the index of industrial production (IIP), rose 3.5% year-on-year (yoy) in October 2024. Manufacturing industry output grew by 4.1 percent compared to 10.6 percent in the previous month. . In the April-October period, IIP grew by 4 percent, down from 7 percent in previous years.