New Delhi, Sep 12
India’s inflation rate based on the Consumer Price Index (CPI) edged up to 2.07 per cent in August, although prices food continued to decline during the month, easing the burden on the common man, according to figures released by the Ministry of Statistics on Friday.
The headline inflation in August was marginally higher than the 1.61 per cent in July this year, which was the lowest level of year-on-year retail inflation since June, 2017.
However, the inflation rate is well within the RBI’s target rate of 4 per cent, which allows the central bank to continue with the soft money policy to spur growth.
Food inflation was estimated at -0.69 per cent in August, remaining in the negative zone for the third consecutive month, as the prices of vegetables declined by 15.92 per cent and pulses turned cheaper by as much as 14.53 per cent. The prices of spices also fell by 3.24 per cent during the month.