The wholesale price inflation (WPI) of the month of August remained flat sequentially, but eased on a year-over-year basis, official data showed on Monday.
“Build up inflation rate in the financial year so far was 1.25 per cent compared to a build-up rate of 3.27 per cent in the corresponding period of the previous year.”
Consequently, the rise in August’s WPI remained unchanged at 1.08 per cent on a sequential basis. But, it eased on a YoY basis. In August 2018, the WPI had risen to 4.62 per cent.
“The annual rate of inflation, based on monthly WPI for August 2019, remained unchanged at 1.08 compared to July 2019 and 4.62 per cent during the corresponding month of the previous year,” the Ministry of Commerce & Industry said in its review of August WPI numbers.
On Saturday, Finance Minister Nirmala Sitharaman said retail inflation “has been kept under control and well below 4 per cent”. August’s reading marked the thirteenth straight month in which consumer inflation came in below the Reserve Bank of India’s medium-term target of 4 per cent.
The Reserve Bank of India (RBI) tracks consumer inflation primarily while formulating its monetary policy.
(With input from agencies)