India’s retail inflation rate dropped to 5.53% in November, below the Reserve Bank of India’s upper tolerance limit of 6%. The decline was driven by falling vegetable prices and stabilization in edible oil costs.

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• Retail inflation fell to 5.53% in November from 6.21% in October.
• October’s inflation marked a 14-month high.
• Lower vegetable prices and stability in edible oil contributed to the decrease.
• RBI maintained policy rates despite inflation concerns.
• Analysts suggest seasonal harvests could have a prolonged impact on inflation.
• Core inflation remained stable at 3.70%.
• Wholesale Price Index (WPI) inflation projected at 2.20% for November.
• RBI revised the GDP growth estimate for 2023-24 from 7.2% to 6.6%.
• Food inflation concerns eased, bringing broader price stability.
• Lower inflation offers relief to poor and middle-class households.