New Delhi: The rate of retail inflation based on the Consumer Price Index (CPI) stood at 3.15 percent in July, against 3.18 percent in June, government data showed on Tuesday.
Retail inflation stood at 4.17 percent in July 2018, data released by the Central Statistics Office (CSO) showed.
Retail inflation is a crucial data point, keenly watched by the Reserve Bank while deciding its monetary policy. July's inflation figures remain below the RBI's 4 percent medium-term target for a twelfth consecutive month.
Lowering the repo rates by 35 basis points to 5.40 percent, RBI had in its third bi-monthly policy released on August 7 said that "these decisions are in consonance with the objective of achieving the medium-term target for consumer price index (CPI) inflation of 4 percent within a band of +/- 2 per cent, while supporting growth".
As per the data, inflation in the food basket remained at 2.33 percent in July, clothing and footwear at 1.65 percent and housing at 4.87 percent.