Business News

WPI inflation declines to 25-month low of 3.85% in February, government data shows

wpi-inflation-declines-to-25-month-low-of-3.85%-in-february,-government data shows

India’s annual wholesale price-based inflation (WPI) eased to the lowest in over two years, dragged down by a fall in overall input costs for manufacturers on the back of favourable commodity prices.

WPI in February eased to 3.85% year-on-year, compared with 4.73% in the previous month.

It was below the Reuters forecast of 4%, and also marked the lowest since January 2021, when it recorded 2.51%.

In February food index rose 2.76% year-on-year, from 2.95% in January, while fuel and power rose 14.82% from 15.15%.

Decline in the rate of inflation was broad based primarily driven by fall in prices of crude, energy prices, non-food and food articles, the government said in the statement.

Data released on Monday showed India’s annual retail inflation eased to 6.44% in February, helped by a fall in the price of some food items.

However, concerns about price pressures remain as retail inflation was above central bank’s upper tolerance of 6% for the second consecutive month, with core inflation remaining sticky.

SHARE THIS ARTICLE ON Topics india wpi inflation india wpi inflation

Leave a Comment