India's Retail Inflation Quickens to 5.54% in September From 4.83% in August, Hits Near Two-Year High
Food and fuel costs pushed the reading above the central bank's target for a fourth straight month, reinforcing expectations for more rate hikes.
- On Monday, the Ministry of Statistics and Programme Implementation reported India's headline inflation rose to 5.54% in September from 4.82% in August, pressuring the Reserve Bank of India to tighten monetary policy.
- Food inflation drove the surge, climbing sharply to 7.74% in September from 5.97% in August, as India experienced 11 straight months of rising prices reaching a 22-month high.
- Last week, the Reserve Bank of India raised the policy repo rate by 25 basis points to 5.5%, shifting its stance to "calibrated tightening" amid warnings of elevated inflation expectations.
- The consumer price index print exceeded economists' expectations of 5.40% according to a Reuters poll, with analysts noting, "This may not be a deep tightening cycle, but a tightening cycle it is."
- Despite elevated international commodity prices and Middle East tensions, the RBI raised its GDP growth projection for 2026-27 to 7.1% from 6.7%, though officials cautioned that geopolitical frictions could weigh on economic activity.
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Retail inflation hits 5.54 pc in Sept as onion prices surge
New Delhi: Retail inflation rose sharply to 5.54 per cent in September on the back of high onion and other food prices, remaining just within the RBI’s tolerance band, government data released on Monday, October 12, showed. The consumer price index (CPI)-based headline inflation was 4.83 per cent in August. Food inflation rose to 7.74 … Get the latest updates in Hyderabad City News, Technology, Entertainment, Sports, Politics and Top Stories on …
Consumer Inflation Rises to 5.54% in September from 4.83% in August
Get latest articles and stories on Business at LatestLY. India's retail inflation rose to 5.54 per cent in September from 4.83 per cent in August, driven by a sharp increase in food inflation, which climbed to 7.74 per cent from 5.97 per cent in the previous month, according to data released by the Ministry of Statistics and Programme Implementation on Monday. Business News | Consumer Inflation Rises to 5.54% in September from 4.83% in August.
India's Retail Inflation Rises To 5.54% In September As Food Prices Surge
Indian households faced higher prices in September as retail inflation rose to 5.54%, compared with 4.83% in August, provisional data by the National Statistics Office (NSO) showed on Monday. The increase came largely from food items, with onions, garlic and lemons
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