Inflation & Prices

India’s Inflation Flares Up, Returns to 6% Level in January

  • Core prices stay above 6% mark for 16th month in a row
  • Higher costs may put pressure on RBI to tighten further
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India’s inflation beat estimates in January, breaching the top-end of the central bank’s target for the first time in three months, validating the central bank’s worries on persistent price pressures.

The consumer price index rose 6.52% from a year earlier, according to data released by the Statistics Ministry on Monday. That’s higher than the 6% median estimate in a Bloomberg survey and compares with a 5.72% gain in December.