HomeNationConsumer Price Inflation Drops To 2-Year Low Of 4.25% For The Month...

Consumer Price Inflation Drops To 2-Year Low Of 4.25% For The Month Of May

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Consumer Price Inflation had been plaguing the Reserve Bank of India by remaining above its tolerance level of 6 per cent for three straight quarters. This forced the central bank’s hand as it had to raise interest rates to restrict cashflow in order to control demand and bring down prices.

But inflation dropped below RBI’s threshold in March 2023, and has been slipping downward, as it hit a two-year low of 4.25 per cent in May.

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