India’s retail inflation surges to 8-year high in April; What it means for you

Published on May 12, 2022 08:11 PM IST

The country’s retail inflation rose to an 8-year high of 7.79% in April. It is measured by the Consumer Price Index (CPI). The retail inflation for the month of March was 6.95%. On the same day, Indian rupee stumbled to a record new low. The rupee dropped as much as 0.5% to 77.6313 per dollar, hitting a record low for the second time this week. The benchmark Sensex Index tumbled 1.7% to the lowest in two months. Sovereign bonds also retreated. A falling rupee increases inflation by making imports costlier, which is likely to put more pressure on the Reserve Bank of India (RBI) to stem the currency’s sliding value. Find out what it means for you.

 

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