Relief to the general public, inflation decreased in the country in January, prices of these goods fell

By Sudhakar Yadav February 12, 2024 7:07 PM IST
Retail inflation increased...- India TV Paisa
Photo: FREEPIK Decline in retail inflation

Retail Inflation in January: A good news has emerged on the inflation front. India’s retail inflation has declined. The country’s retail inflation has declined to 5.10 percent in January. In the month of December it was at a 4-month high of 5.69 percent. Thus, retail inflation remained at its lowest level in three months in January. The government has released retail inflation figures on Monday evening. In this way, retail inflation in the country has been between 2 to 6 percent, the tolerable level of RBI. Inflation rates in rural and urban areas were 5.34 percent and 4.92 percent respectively. In the same period a year ago, it was 5.93 percent and 5.46 percent.

Prices of which commodities fell

The main reason for the decline in retail inflation is the decline in prices of food items. Food inflation stood at 8.30 percent in January. It was 9.53 percent in December. Inflation of vegetables declined marginally to 27.03 percent as compared to 27.64 percent in December. Apart from this, inflation of fuel and electricity has come down by (-) 0.60 percent.

RBI did not change the repo rate in the sixth consecutive meeting

RBI had given its decision on the main interest rate i.e. repo rate on 8 February. RBI did not make any change in the repo rate for the sixth consecutive meeting. The central bank has maintained it at 6.50 percent. The Monetary Policy Committee of the RBI has kept its inflation forecast for fiscal year 2024 unchanged at 5.4 percent. RBI MPC also said that according to its estimates, inflation rate could be 5 percent in the quarter ending March 31.

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