InvestorQ : Why has the inflation figure for March shot up once again?
Niti Shenoi made post

Why has the inflation figure for March shot up once again?

Answer
image
ishika Banerjee answered.
3 weeks ago
Follow

CPI inflation or retail inflation as it is better called, for March 2021 was relatively higher at 5.52% compared to 5.03% in Feb-21. The spike in retail inflation was largely driven by a rise in food inflation which bounced to 4.94%. Another trend that was clearly visible was that urban centres contributed inflation more than the rural centres across India.

However, the real concern was the core inflation getting to a 29-month high level of 5.96%. Core inflation is the sticky part of inflation that is normally hard to control and even the Economic Survey warned about core inflation. Headline inflation at 5.52% is still short of the outer limit of 6% on the upper end but could start influencing monetary policy soon.

0 Views