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Retail inflation cools to a six-year low of 2.82% in May on moderating food prices
- India's year-on-year retail inflation fell to 2.82% in May 2025, the lowest in over six years, according to provisional data from the NSO.
- This decline follows months of easing inflation, supported by a 34 basis point drop from April 2025 and a 79 basis point fall in food inflation.
- The drop in inflation mainly results from lowered prices in pulses, vegetables, fruits, cereals, sugar, eggs, and a favorable base effect.
- Food inflation fell sharply to 0.99% in May 2025 from 8.69% a year earlier, and economists like Aditi Nayar expect headline CPI inflation to reach around 2.5%.
- The fall in inflation suggests continued softening ahead, aided by government duty cuts on edible oils and broader policy support, though some food prices are rising again.
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Food prices including non-alcoholic beverages rose by just under 0.2 percent in May, compared with April. On an annual basis, food inflation has moderated somewhat, according to inflation figures from Statistics Sweden (SCB). Today's figures confirm the view that the Riksbank may lower interest rates next week.
·Stockholm, Sweden
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Inflation at 6-year low as food prices ease - The Tribune
Retail inflation dipped to an over six-year low of 2.82 per cent in May due to subdued food prices, remaining below the RBI’s median target of 4 per cent for the fourth consecutive month, according to government data released on Thursday.
·Chandigarh, India
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Leaning Left1Leaning Right5Center1Last UpdatedBias Distribution71% Right
Bias Distribution
- 71% of the sources lean Right
71% Right
14%
14%
R 71%
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