The common people have got a big relief on the inflation front. According to government data, there has been a big decline in the country’s wholesale inflation. According to the government data released on Tuesday, India’s wholesale inflation came down to 2.05 percent on an annual basis in March, compared to 2.38 percent in January. While experts estimated wholesale inflation of 2.5 percent. According to the government, the main reason for the decrease in inflation in March, 2025 is due to the increase in the prices of food products manufacturing, other manufacturing, food products, manufacturing of electricity and textiles etc. Wholesale food inflation declined from 5.94 percent to 4.66 percent last month. In March, inflation of primary items declined from 2.81 percent to 0.76 percent.
Heat increased inflation worry
Meanwhile, the warnings of the Indian Meteorological Department have raised concerns about inflation about the waves of summer across the country. Rahul Bajoria, head of India and ASEAN Economic Research in Bofa Global Research, said that as the temperature increases in summer, the prices of vegetables and fruits are expected to increase seasonally. Earlier in February, retail inflation came to a seven -month low to 3.61%, which was at 4.31% in January. The government is going to release the retail inflation figures of March today i.e. on Tuesday evening.
What is RBI’s estimate on inflation
The Reserve Bank of India (RBI )’s Monetary Policy Committee (MPC) said earlier this month that there has been a decrease in inflation due to a decrease in food items and it is expected to further soften in FY 26, which will provide further relief to Indian families. RBI’s MPC has estimated 4 per cent of inflation for FY 2025-26, while 4.2 per cent was estimated in the February meeting. For the four quarters of FY 26, RBI MPC has estimated that inflation will be 3.6 per cent in the first quarter, 3.9 per cent in the second quarter, 3.8 per cent in the third quarter and 4.4 per cent in the fourth quarter.