Retail inflation eases to 6.69% in August

Retail inflation softened slightly to 6.69% in August, even as food prices continued to rule high, official data showed on Monday.

The government has revised downwards the retail inflation for July to 6.73% from the earlier estimate of 6.93%. Food inflation during the month stood at 9.62%.

Food inflation in August fell marginally to 9.05%, according to the Consumer Price Index (CPI) data.

The retail inflation, mainly taken into account by the RBI to arrive at its policy decisions, has been above the regulator’s comfort level.

The government has mandated the central bank to restrict the inflation at 4% (+/- 2%).