Based on Reuters polling of experts, India's consumer price inflation is projected to have eased to 4.80% in April, slightly less than March's rate, as food inflation continues to be sticky.
Food costs, which make up about half of the consumer price index (CPI) basket, have remained high despite a recent slowdown in headline inflation, placing pressure on household budgets.
According to the most recent Reserve Bank of India bulletin, food prices continue to be a concern to India's inflation trajectory as a result of the country's ongoing heatwave in some areas.
According to a Reuters survey conducted among 44 analysts from May 3–8, consumer price inflation dropped to 4.80% in April from 4.85% in March. Predictions varied from 4.50% to 5.10%, with 33% of participants projecting more inflation than the March figure.
According to Acuite Ratings senior economist Suman Chowdhury, "food inflation is sticky, and it is still around 8%... it is difficult for food inflation to come down further and headline inflation is not going to fall in a hurry."
"At the moment, there isn't a novel approach to reduce inflation. We predict that for the coming months, inflation will either stay at or perhaps rise above 5%."
The main economic advisor to the government, V. Anantha Nageswaran, stated on Wednesday that the Indian economy was in a better position than before to pursue "non-inflationary" development.
