In last inflation print before MPC meet, February CPI likely near 4% goal

The RBI had projected the CPI inflation for the current financial year (FY25) at 4.8 per cent with the headline figure in March quarter remaining at 4.4 per cent

India’s consumer price index (CPI)-based retail inflation is likely to have cooled further in February, approaching or falling below the 4 per cent inflation target for the Reserve Bank of India (RBI), due to easing prices across various goods categories, especially food items. This could open another window for the monetary policy committee (MPC) to consider a repo rate cut in its bi-monthly meeting in April.

 

In January, retail inflation stood at 4.31 per cent. The statistics ministry will release the February CPI data on Wednesday.

 

The RBI had projected CPI inflation for the current financial year (2024-25) at 4.8