New Delhi: The retail inflation rose to 5.37 percent in February on higher prices of food items, including vegetables and beverages.
The consumer price based retail inflation (consumer price index or CPI) for February is calculated with a new base year of 2012.
For January, the retail inflation with a new base year has been revised upwards to 5.19 percent from 5.11 percent estimated earlier.
The CPI in February last year was 7.88 percent.
Food inflation during the month under review rose to 6.79 percent from 6.06 percent in January. The rise in inflation in food items was mainly due to costlier vegetables, pulses and beverages.
The rate of price rise in vegetables went up by 13.01 percent; in pulses and products by 10.61 percent, while the same in the food & beverages category rates moved up by 6.76 percent.
Inflation in fruits was 8.93 percent.
For rural segment, retail inflation was 5.79 percent in February 2015 and that for urban centres 4.95 percent.
Among others, retail inflation in cereals and products grew to 2.91 percent, meat and fish at 5.05 percent. For pan, tobacco & intoxicants category, the rate of price rise was 9.24 percent in February.
For eggs, inflation dipped further to 1.06 percent during the month over a negative price rise of 0.24 percent in the previous month. Likewise, for category under transport and communication, inflation fell to 2.16 percent.
"Retail inflation has come in line with market expectations. We expect inflation to move in a narrow trajectory going forward and stay within the comfort zone of the RBI and the government.
"This would give the RBI adequate headroom to substantially cut policy rates in the next fiscal year, which will in turn facilitate revival of the investment cycle," Angel Broking said in a statement.
