India’s Consumer Price Index (CPI) inflation for November eased to 5.48%, slightly lower than CNBC-TV18’s poll estimate of 5.5%. This marks a decrease from October’s inflation rate of 6.21%, reflecting a deceleration in price rises across several key sectors.
This figure came in line with estimates and is well within the Monetary Policy Committee’s (MPC) upper limit of 6%, although still significantly above its target of 4%. The easing of overall inflation was largely attributed to a decline in both rural and urban inflation, which provided some relief to the economy.
However, food inflation eased slightly but remained elevated at 9.04% in November, compared to 10.87% in October. This was higher than the 8.5% anticipated in a CNBC-TV18 poll.
Vegetable prices saw significant improvement with inflation standing at 29.33% compared to October’s 42.18%. Pulses inflation also moderated to 5.41% from 7.43% in the previous month, but food prices remain elevated.
In terms of regional inflation, rural inflation eased to 5.95%, compared to 6.68% in October, while urban inflation softened to 4.83% from 5.62%.
Meanwhile, fuel and light inflation remained negative at -1.83%, reflecting the ongoing impact of lower fuel prices. Housing inflation stayed steady at 2.87%, while clothing and footwear inflation slightly increased to 2.75% from 2.70% in October.
Despite the easing in overall inflation, the persistent rise in food prices remains a challenge for households across India.
