India Inflation Rate Falls To Record Low Of 2.99%

Consumer prices in India increased 2.99 percent year-on-year in April of 2017, following a 3.81 percent rise in March and well below market expectations of 3.5 percent. It is the lowest inflation rate since the series began in 2012, driven by a slowdown in food prices.

Year-on-year, cost of food and beverages rose 1.21 percent (2.54 percent in March), provisional estimates showed. The food index alone rose 0.31 percent compared to 1.93 percent in the previous month. Prices increased less for sugar (11.37 percent from 17.05 percent in March); meat and fish (1.9 percent from 2.96 percent) and fruits (3.78 percent from 9.35 percent) and fell more for pulses (-15.94 percent from -12.4 percent) and vegetables (-8.59 percent -7.24 percent).

Also, consumer prices rose at a slower pace for clothing and footwear (4.58 percent from 4.6 percent) and housing (4.86 percent from 4.96 percent). In contrast, inflation increased for fuel and light (6.13 percent from 5.56 percent).

The corresponding provisional inflation rates for rural and urban areas are 3.02 percent and 3.03 percent (3.75 percent and 3.88 percent respectively in March).

India Inflation Rate Falls To Record Low Of 2.99%

Yekaterina Guchshina |
5/12/2017 12:40:03 PM