Retail inflation drops to 7-month low in February, easing pressure on RBI

New Delhi: Retail inflation eased to a seven-month low of 3.61 per cent in February, driven by a decline in the prices of vegetables, eggs, and other protein-rich items.

The reduction in inflation provides the Reserve Bank of India with room to potentially cut policy interest rates next month.

Earlier, in July, retail inflation had reached a low point, and since November 2024, the Consumer Price Index has shown improved figures for the RBI.

In February, the RBI had reduced the policy interest rate by 0.25 per cent to address inflation concerns.