NEW DELHI: Retail inflation eased marginally to a fourmonth low in August on the back of softening food prices and was below the RBI’s upper tolerance band for the second successive month.
National Statistical Office (NSO) data released on Monday showed retail inflation, as measured by the consumer price index (CPI), at 5.3%, lower than the previous month’s 5.6% and 6.7% in August 2020. The food prices index eased to 3.1% in August compared to nearly 4% in July. Rural inflation was at 5.3% during the month and urban inflation was at similar levels.
Core inflation (minus food and fuel) eased to 5.8% in August compared with nearly 6% in July. Inflation in oil and fats in August was 33% compared with 32.5% in July.
