India's August retail inflation 4.82% above RBI 4% target
Business
India's retail inflation hit 4.82% in August, a 20-month high and above the RBI's 4% target for the third straight month.
The main culprits? Food and fuel prices climbing, says the ministry of statistics and program implementation's provisional data.
Food inflation rises to 5.95%
Food inflation rose to 5.95%, with unpredictable weather (thanks, El Nino) and elevated tensions in West Asia and concerns over maritime shipments through the Strait of Hormuz pushing oil above $91 a barrel, so everything from groceries to transport is feeling the pinch.
While inflation is still within RBI's okay range (2% to 6%), if these trends keep up, it could mean higher interest rates ahead, which might slow down economic growth.