Retail inflation rises, highest in four months

Retail inflation rose to a four-month high of 5.08 per cent in June 2024 due to a jump in the prices of food items. Earlier, the Consumer Price Index (CPI) based inflation was highest at 5.09 per cent in February 2024. In May, it fell to a one-year low of 4.75 per cent, while it was 4.87 per cent in June 2023. According to data released by the National Statistical Office (NSO) on Friday, food inflation rose to 9.36 per cent in June. It was 8.69 per cent in May.

Retail inflation increased due to rise in vegetable prices

According to government data, retail inflation reached 5.08 per cent in June due to rise in prices of food items, especially vegetables. This is a four-month high. Retail inflation was declining since January, but it increased again in June. The inflation rate was 4.8 percent in May 2024 and 4.87 percent in June 2023. It was 5.09 percent in February, which was the previous highest level.

According to NSO data, the inflation rate in the food basket was 9.36 percent in June. Apart from this, it was 8.69 percent in May. The government has asked the Reserve Bank of India to ensure that the CPI inflation rate remains at 4 percent. The highest inflation rate was seen in vegetables, which was 29.32 percent. After this, the inflation rate in pulses and products was 16.07 percent. The prices of grains and fruits also increased in June as compared to last year. Retail inflation in rural areas stood at 5.66 percent. Apart from this, it was more than 4.39 percent in urban areas.