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What is CPI-based Inflation or Retail Inflation

CPI-based Inflation

About CPI-based Inflation

What is CPI-based Inflation or Retail Inflation

When we talk about the rate of inflation, it often refers to the rate of inflation based on the consumer price index (CPI). The CPI tracks the change in retail prices of goods and services which households purchase for their daily consumption.
 
To measure inflation, we estimate how much CPI has increased in terms of percentage change over the same period the previous year. If prices have fallen, it is known as deflation (negative inflation). The Central Bank (RBI) pays very close attention to this figure in its role of maintaining price stability in the economy.
 
The CPI monitors retail prices at
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Latest Updates on CPI-based Inflation

Assam, Odisha among states clocking high rural inflation than urban in FY23

Assam, Haryana, Madhya Pradesh, Manipur, Mizoram, Odisha, Uttarakhand, West Bengal, and Delhi experienced higher rural inflation than urban inflation

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Updated On : 07 Feb 2023 | 9:15 AM IST

Not convinced of durable fall in inflation: RBI Deputy Guv Michael Patra

CPI inflation was at 6.7% in July, the first time in four months that the price gauge fell below 7%

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Updated On : 26 Aug 2022 | 11:36 PM IST

Inflation: Your soap or cookies may not be getting pricier but lighter

Companies have moved toward lighter loads in their cheapest packages amid rising costs of edible oils, grains and fuel

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Updated On : 13 May 2022 | 8:20 AM IST

What explains RBI's 'near-unanimous' inaction even as inflation was rising?

For the RBI, a correct reading of its mandate would have been that the inflation target is 4%, not 6%. And action to raise interest rates should have begun last year, writes T N Ninan

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Updated On : 06 May 2022 | 10:42 PM IST

Sensex falls 388 pts, Nifty holds 17,500; private banks shine, metals crack

CLOSING BELL: Axis Bank, Kotak Bank, Maruti Suzuki, Power Grid, SBI Life, and ICICI Bank were the top winners on the benchmark indices, rising upwards of 0.5 per cent each

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Updated On : 12 Apr 2022 | 3:47 PM IST

RBI leaves key rates on hold amid Omicron risks; analysts weigh in

The committee held the lending rate, or the repo rate , at 4%. The reverse repo rate, or the key borrowing rate, was also maintained at 3.35%

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Updated On : 08 Dec 2021 | 11:36 AM IST

RBI leaves rates unchanged, says economy better prepared to deal with Covid

Central bank maintains FY22 GDP forecast at 9.5 per cent and projected retail inflation to be at 5.3 per cent.

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Updated On : 08 Dec 2021 | 11:10 AM IST

RBI keeps rates on hold to support recovery, 'sail towards normal times'

Repo rate and the reverse repo rate remain unchanged at 4% and 3.35%

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Updated On : 08 Oct 2021 | 12:25 PM IST

Stocks, debt yields slip on biggest US inflation hike in 13 years

Stocks on Wall Street at first took the CPI data in stride, bidding up technology stocks that typically thrive with low interest rates

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Updated On : 14 Jul 2021 | 6:34 AM IST

The current 'inflation' is a mystery. FinMin, RBI must tread carefully

At a time of declining incomes, people don't have money. So they do not buy. If they don't buy, prices must fall, not increase. What, then, explains the inflation? T C A Srinivasa Raghavan explores

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Updated On : 05 Jul 2021 | 8:21 AM IST

Covid-19 fallout: Outdated CPI, GDP may have to wait longer for revision

Revision of CPI and GDP base years from 2011-12 and 2012, respectively, was dependent on the outcomes of the consumer expenditure survey of 2017-18, which the govt junked sometime back

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Updated On : 30 Apr 2021 | 11:28 PM IST

RBI's renewed challenges

The second wave could increase risk for the banking system

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Updated On : 27 Apr 2021 | 10:22 PM IST

February IIP contracts 3.6%; retail inflation rises to 5.5% in March

The manufacturing sector output contraced by 3.7 per cent in February, while the mining output declined by 5.5 per cent. Meanwhile, the power generation grew by 0.1 per cent

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Updated On : 12 Apr 2021 | 7:26 PM IST

WPI inflation at 2.03% on costlier manufactured items, food prices ease

The WPI inflation was 1.22 per cent in December, 2020 and 3.52 per cent in January last year

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Updated On : 15 Feb 2021 | 12:48 PM IST

RBI's monetary and Centre's fiscal policy are moving hand-in-glove

RBI has done exceptionally well in managing government's extended borrowing this year when fiscal deficit has shot-up to 9.5 per cent of GDP

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Updated On : 05 Feb 2021 | 2:36 PM IST

Inflation worries play on RBI's mind, dampen mood of bond market

Higher inflation projection rules out any rate cut possibility in the first half of FY22; bond yield jumps

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Updated On : 05 Feb 2021 | 1:04 PM IST

One nation one ombudsman: RBI to integrate consumer grievance redressal

There are dedicated ombudsman schemes devoted to consumer grievance redressal in banking, non-bank finance companies and digital transactions, respectively, at present

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Updated On : 05 Feb 2021 | 12:51 PM IST

RBI MPC highlights: Rates, stance unchanged, CRR to be restored, and more

Projection for CPI-based inflation revised to 5.2% for Q4 of FY21, for H1 of FY22 at 5% to 5.2%, and for Q3 of FY22 at 4.3%

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Updated On : 05 Feb 2021 | 11:12 AM IST

Inflation, Budget and its implications: RBI's two guiding forces on rates

The other signals expected from the policy related to the rollback of measures announced during the pandemic

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Updated On : 05 Feb 2021 | 12:21 PM IST

RBI keeps policy rate unchanged fourth time, maintains accommodative stance

The central bank had slashed the repo rate by 115 basis points since late March 2020 to support growth

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Updated On : 05 Feb 2021 | 10:34 AM IST