India's retail inflation slipped!!!
Retail inflation declined to 7.04 per cent in May, mainly due to moderation in food prices, although it remained above the RBI's upper tolerance level for the fifth consecutive month. Consumer Price Index (CPI) based inflation was 7.79 percent in April. In May 2021, the retail inflation rate was 6.3 percent.
Food inflation-
According to the data released by the National Statistical office (NSO), inflation in the food basket stood at 7.97 in May 2022, marginally lower than 8.31 per cent in the previous month. The Reserve Bank, which incorporates the cpi in its monetary policy, earlier this month raised the inflation forecast for the current fiscal to 6.7 per cent from its previous estimate of 5.7 per cent. Inflation in the food basket stood at 7.97 per cent in May 2022, marginally lower than 8.31 per cent in the previous month.
How much inflation can be this year?
As per RBI estimates, inflation is likely to be 7.5 per cent in the first quarter of the current financial year and 7.4 per cent in the next three months. It is expected to decline to 6.2 percent and 5.8 percent in the third and fourth quarters, respectively.
