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Economics3h 11m ago

Retail inflation in India rose to 3.9% in May 2026, driven by increases in food and transport prices, but remained below the RBI's 4% target.

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India

Who
Bloomberg, Aastha Gudwani, National Statistics Office (NSO), Reserve Bank of India (RBI), statistics ministry
What
Retail inflation in India rose to 3.9% in May 2026, driven by increases in food and transport prices, but remained below the RBI's 4% target.
When
Sat, 13 Jun 2026 01:32:17 GMT · 3h 11m ago
Where
India ·
Why
The rise in inflation was primarily driven by higher food and transport costs, and an adverse base effect for food inflation.
The Frontline Impact

How this affects you

Economists have revised their forecasts for India's fiscal year 2027 CPI inflation upwards, with Barclays predicting 5.0% year-on-year, suggesting the RBI's Monetary Policy Committee may maintain interest rates despite current inflation pressures.

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