In April, India’s retail inflation was 4.83%, slightly down from March’s 4.85%, aligning with the expected 4.80%.
According to government data released on Monday, India’s retail inflation rate in April showed a slight easing, attributed in part to lower fuel prices, although food prices remained high.
The annual retail inflation rate for April stood at 4.83%, marginally lower than March’s figure of 4.85%. This was in line with expectations of 4.80% for April.
Food inflation, which holds significant weight in the overall consumer price index, recorded a rise of 8.70% in April, compared to 8.52% in the preceding month.
Analysts noted that the Consumer Price Index (CPI) inflation for April aligned with predictions, indicating a level of comfort concerning core prices.
The recent decline in commodity prices, particularly crude oil, contributed to this trend, even as U.S. macroeconomic indicators suggested a delayed onset of the rate cut cycle.
Given the dominant influence of global developments on monetary policy decisions, it is unlikely that the Reserve Bank of India’s Monetary Policy Committee will implement rate cuts in the calendar year 2024. The anticipation is for the first rate cut to occur in Q4FY25.
