India's April Inflation Hits 3.48% for 6th Month, Missing 3.80% Forecast as Oil Risks Build
Updated
Updated · CNBC · May 12
India's April Inflation Hits 3.48% for 6th Month, Missing 3.80% Forecast as Oil Risks Build
3 articles · Updated · CNBC · May 12
3.48% consumer inflation in April marked India's sixth straight monthly rise, but still came in below the 3.80% increase economists had expected.
4.2% food inflation, up from 3.87% in March, helped lift the headline rate even as the government kept pump prices unchanged to cushion consumers from higher global oil costs.
85% of India's fuel is imported, leaving the economy exposed to Iran-war supply disruptions through the Strait of Hormuz and raising the risk that sustained energy costs feed into broader core inflation.
4.6% is the RBI's inflation estimate for the financial year through March 2027, while Crisil sees 5.1%; the central bank has already trimmed near-term GDP growth forecasts and the rupee remains near record lows.
Why are prices for cars and potatoes dropping while raw material costs are surging across India?
With a poor monsoon forecast, is India's central bank underestimating the coming food inflation crisis?
India's Prime Minister urged a gold-buying halt. Is the nation's economy more fragile than official figures suggest?