AMN/ WEB DESK

Retail inflation, based on the consumer price index (CPI), eased to a one-yearlow of 5.72 percent in December from 5.88 percent the previous month. As perthe Ministry of Statistics and Programme Implementation data releasedyesterday, the retail inflation slipped to lowest level since December 2021.Food Price Index dipped to 4.19 percent in December from 4.67 percent inNovember.

The CPI has come below the Reserve Bank of India’s (RBI) upper margin of 6 percent for the first time in the calendar year 2022. The government has mandatedthe central bank to maintain retail inflation at four per cent with a margin oftwo per cent on either side.

In its December monetary policy meet, RBI governor Shaktikanta Das had saidthat RBI would continue its fight against inflation despite the worst being”behind us”, suggesting the central bank was likely to remain hawkishin the near term.