Inflation lowest year-on-year provides further leeway to reduce interest rates: PHDCCI
CPI inflation for the month of April, 2025 over April, 2024 stands at 3.16% (provisional). “This is an 18 basis points decline in headline inflation of April, 2025 in comparison to March, 2025. However, it is the lowest year-on-year inflation after July, 2019”, said Mr. Hemant Jain, President, PHDCCI, in a press statement issued here today.
City Air News
May 13, 2025 08:51
0
CPI inflation for the month of April, 2025 over April, 2024 stands at 3.16% (provisional). “This is an 18 basis points decline in headline inflation of April, 2025 in comparison to March, 2025. However, it is the lowest year-on-year inflation after July, 2019”, said Mr. Hemant Jain, President, PHDCCI, in a press statement issued here today.
The significant softening of CPI and food inflation during the April, 2025 is mainly attributed to decline in prices of Vegetables, Pulses & Products, Fruits, Meat & fish, Personal care and Cereals, he said.
Both the rural and urban segments of the economy are witnessing softening of CPI inflation, with 2.92% and 3.36% in April 2025 in comparison to 5.43% and 4.11% respectively in April, 2024, he added.
This is expected to further give comfort to RBI to reduce interest rates, in the next bi-monthly MPC meeting, which will reduce industry debt burden, said Mr. Jain.
Going ahead, we expect food inflation to cool down further given the anticipation of a good monsoon. Further, the crude prices is expected to be range bound between US$60 to US$65 per barrel in the short to medium term further boosting private final consumption expenditure and therefore bolstering economic growth, said Mr. Jain.
