Retail inflation rises to 4-month high of 2.57 pct on back of food prices

Retail inflation rose to four-month high of 2.57 per cent in February, mainly driven by higher food prices. The retail inflation based on Consumer Price Index (CPI) stood at 1.97 per cent in January and 4.44 per cent in February 2018.

Food inflation based on CPI, however, was in negative at 0.66 per cent. The latest print is higher than (-) 2.24 per cent in January. The earlier lowest inflation was 2.33 per cent in November 2018. The Reserve Bank factors in retail inflation while deciding at its monetary policy.