WPI inflation rises sharply to 1.88% in July vs 0.90% in June

New Delhi: Wholesale inflation rose sharply to 1.88 percent in July as compared to 0.90 percent for the previous month.

Inflation based on the wholesale price index (WPI) was 0.63 percent during the corresponding month of the previous year.

The government data released on Monday showed that prices of  food articles rose by 2.15 percent in July on a yearly basis. Vegetable inflation stood at 21.95 percent.

Fuel and power segment, however, saw some cooling of inflation at 4.37 percent, from 5.28 percent in June.

Easing price pressures gave the Reserve Bank of India (RBI) room to cut its main policy rate by 0.25 percent to 6 percent earlier this month, the lowest since November 2010.

The RBI expects retail inflation could accelerate to 3.5 percent to 4.5 percent in October-December.