As per the government data, India’s retail inflation rose to 5.49 per cent in September from 3.65 per cent in August this year. Key contributors to this spike in inflation may include rising food prices, increased demand, and other economic factors that are influencing the cost of living for Indian households.
The consumer price index-based inflation was 5.02 per cent in September 2023. The National Statistics Office data showed that inflation in the food basket rose to 9.24 per cent in September from 5.66 per cent in August and 6.62 per cent in the year-ago month. The Reserve Bank, which kept the key short-term lending rate unchanged earlier this month, has been tasked by the government to ensure inflation remains at 4 per cent with a margin of 2 per cent on either side.