Overview

• Retail inflation in India climbed to 5.49% in September 2024, up from 3.65% in August, according to government data.
• The Consumer Food Price Index saw a substantial increase, with food inflation reaching 9.24%, largely due to higher costs of vegetables, pulses, and cereals.
• Vegetable prices experienced a dramatic rise of 35.99%, contributing significantly to the overall inflation spike.
• Wholesale Price Index also rose, with food items showing an inflation rate of 11.53%, highlighting pressures in the supply chain.
• The Reserve Bank of India maintained its key lending rate earlier this month, with expectations of inflation easing in the coming months.