New Delhi: India's retail inflation rate rose to 4.62% in October, driven by higher food prices, the government said on Wednesday.
The inflation based on Consumer Price Index (CPI) was 3.99% in September and 3.38% in October 2018. The inflation in the food basket spiked to 7.89% in October as against 5.11% the preceding month.
The Reserve Bank mainly factors in the CPI based inflation to arrive at its bi-monthly monetary policy. The RBI has been asked to keep the retail inflation at around 4%.
Annual retail inflation in October was higher compared with 3.99% in the previous month and analysts' forecasts. Analysts polled by Reuters had forecast a retail inflation rate of 4.25% for October.