Economy, Banking & Business
India's retail inflation eases to 4.83% in April
Summary
India's retail inflation (CPI) eased to 4.83% in April 2025, below the RBI's upper tolerance band of 6%, driven by a significant fall in vegetable and food prices.
Key TakeawayRBI's inflation target band is 2%–6% with a 4% median target.
Key Points
- CPI inflation at 4.83% in April 2025, down from 5.09% in March.
- Food inflation declined sharply due to lower vegetable prices.
- Core inflation remains sticky around 3.2%.
- Within RBI's comfort zone of 2%–6%.
Key Facts
- CPI Apr 2025
- 4.83%
- CPI Mar 2025
- 5.09%
- RBI Target
- 4% (±2%)
- Data Source
- MoSPI
Why it matters?
Lower inflation gives RBI room to cut interest rates, boosting economic growth and reducing borrowing costs.