The RBI had cut key policy interest rates by 25 bps to 5.25%, saying that the Indian economy is in a “rare Goldilocks period” marked by high growth and low inflation. File
| Photo Credit: The Hindu
Retail inflation inched up to 0.71% in November on rising prices of vegetables, protein-rich items, and fuel, government data showed on Friday (December 12, 2025).
The consumer price index (CPI)-based retail inflation had fallen to a record low of 0.25% in October, mainly due to lower prices helped by GST rate cuts and a favourable base.
According to data released by the National Statistics Office (NSO), deflation in food items was 3.91% in November against 5.02% in October.
The rise in headline and food inflation during November 2025 is mainly attributed to an increase in inflation of vegetables, eggs, meat and fish, spices, fuel and light, the NSO said.
Fuel and light inflation for November was 2.32% against 1.98% in October 2025.
The Reserve Bank, earlier this month, significantly lowered the inflation projection for the current fiscal to 2% from 2.6% estimated earlier, as the economy continues to witness rapid disinflation.
The RBI had cut key policy interest rates by 25 bps to 5.25%, saying that the Indian economy is in a “rare Goldilocks period” marked by high growth and low inflation.
The Reserve Bank last week raised the FY26 GDP growth projection to 7.3%, from its earlier estimate of 6.8%. India recorded an 8% growth in the September quarter, and 7.8% in the June quarter.
Published – December 12, 2025 04:30 pm IST
