July retail inflation eases to 4-month low at 9.86%

New Delhi: For the first time this fiscal, retail inflation went below the double-digit level at 9.86 per cent in July.

This is lower than June’s provisional estimate of 10.02 per cent and the now revised level of 9.93 per cent for the same month.

The lower retail inflation for July has opened a small window for the Reserve Bank of India to look at a rate cut at its review meeting on September 17, say economy watchers.
Wholesale index


This is even as the overall Wholesale Price Index (WPI)-based headline inflation at 6.87 per cent in July was above the comfort zone of the central bank.

Retail inflation in May and April stood at 10.36 per cent and 10.26 per cent, respectively.

The all-India Consumer Price Index (CPI)-based inflation rate for rural and urban areas for July stood at 9.76 per cent and 10.10 per cent, respectively, official data released by the Central Statistics Office (CSO) on Tuesday showed.

Retail inflation for rural and urban areas stood at 9.65 per cent and 10.44 per cent, respectively, in June.