Retail inflation in March 2025 fell to 3.34%; could lead to a further rate cut of 50 basis points
April 17, 2025 - Retail inflation in March 2025 fell to 3.34%, marking the lowest level in nearly six years. Estimate had been 3.60%. According to the latest data from the National Statistics Office (NSO), the decline in inflation is attributed to a fall in prices of food items such as vegetables, eggs, pulses and milk.
In comparison, retail inflation stood at 3.61% in February 2025 and 4.85% in March 2024. Food inflation in March 2025 dropped to 2.69%, down from 3.75% in February and a significantly higher 8.52% in March 2024.
A decline in food inflation was observed in both rural and urban areas. In rural areas, it stood at 2.82%, while in urban areas, it was 2.48%.
Analysts expect the price rise to stay under 4% in the coming months. This could lead to a further rate cut of 50 basis points.
With Media Inputs
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