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India’s retail inflation is expected to be less than 2% in July. Today, on August 12, the figures of retail inflation for the month of July will be released. According to experts, it can see a decline due to the frequent softening of the prices of food items.
At the same time, retail inflation in the month of June had come down to 2.10%. This is a low of 77 months. Earlier in January 2019 it was 2.05%. At the same time, it was 2.82% in May 2025 and retail inflation in April 2025 at 3.16%. Retail inflation is below 4% of the RBI target from February.
RBI reduced inflation estimate Earlier, in the meeting of the RBI Monkey Policy Committee held from August 4 to 6, inflation for FY 2025-26 has been reduced from 3.7% to 3.1%. RBI reduced its inflation estimate from 3.4% to 2.1% for the April-June quarter.
How does inflation grow? Increased inflation and the event depends on the demand and supply of the product. If people have more money, then they will buy more things. Buying more things will increase the demand for things and if there is no supply according to the demand, the price of these things will increase.
In this way, the market is in the grip of inflation. Simply put, excessive money in the market or shortage of things causes inflation. On the other hand, if the demand will be reduced and more supply will be reduced.
CPI determines inflation As a customer, you and we buy goods from the retail market. Consumer Price Index i.e. CPI does the work of showing changes in the prices associated with it. The CPI measures the same for goods and services that we pay for goods and services.
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