December 7, 2025 | 14:20 GMT +7

  • Click to copy
Wednesday- 16:31, 14/05/2025

India's inflation slows to lowest in nearly 6 years, making room for more rate cuts

(VAN) India's retail inflation remained below the central bank's 4% target for the third consecutive month as food prices rose at a slower pace, opening up room for more interest rate cuts.
Customers buy fruits and vegetables at an open air evening market in Ahmedabad, India, August 21, 2023.

Customers buy fruits and vegetables at an open air evening market in Ahmedabad, India, August 21, 2023.

Annual retail inflation (INCPIY=ECI), opens new tab slowed to 3.16% in April from 3.34% in March, marking its lowest level since July 2019 and coming in below economists' estimate of 3.27% in a Reuters poll.

Inflation in food prices in India - which accounts for nearly half of the consumption basket - slowed to 1.78% from 2.69% in March, its lowest since October 2021.

Vegetable prices continued their downward trend, falling 11%year-on-year, compared to a 7.04% fall in March.

"The CPI (consumer price index) print today sets the stage for another rate cut by the RBI in its June policy of 25 basis points," said Sakshi Gupta, an economist at HDFC Bank.

Last month, the Reserve Bank of India (RBI) lowered its key policy rate for a second consecutive time, and signalled more cuts by changing its monetary policy stance to 'accommodative' from 'neutral'.

It cut its GDP growth estimate for the ongoing fiscal year to 6.5% from 6.7% and said it sees inflation at 4%, compared to 4.2% earlier.

Prices of cereals rose 5.35% against a 5.93% increase in March, while those of pulses fell 5.23% compared to a 2.73% fall in the same period.

Core inflation, which excludes volatile items such as food and energy and is a better gauge of domestic demand, steadied at 4%-4.1% in April from 4.1% in the previous month, according to two economists.

"We expect the retail inflation to remain in the range of 3.6% to 3.8% during April-June period on the expectations of a normal monsoon," said Rajni Thakur, an economist at L&T Finance.

H.D

(Reuters)

Viet Nam contributes 15 of 69 ASEAN Heritage Parks

Viet Nam contributes 15 of 69 ASEAN Heritage Parks

(VAN) As of 2025, the ASEAN region has a total of 69 ASEAN Heritage Parks recognized across its 10 member states. Among them, Viet Nam contributes 15 ASEAN Heritage Parks.

Unique dipterocarp forest ecosystem in Yok Don National Park

Unique dipterocarp forest ecosystem in Yok Don National Park

(VAN) Yok Don National Park has high biodiversity with numerous endemic plant and animal species, and it is also the only dipterocarp forest ecosystem conservation area in Viet Nam.

Viet Nam, Brunei strengthen cooperation in agriculture, fisheries, and environment

Viet Nam, Brunei strengthen cooperation in agriculture, fisheries, and environment

(VAN) Viet Nam and Brunei signed two important MOUs on fisheries and IUU, expanding cooperation in agriculture, the environment, and Halal exports, aiming to substantively implement joint projects.

International cooperation enhances the Viet Nam's coconut competitiveness

International cooperation enhances the Viet Nam's coconut competitiveness

(VAN) The Viet Nam Coconut Association worked with the International Finance Corporation (IFC) and businesses to promote the supply chain, enhance competitiveness, and develop the coconut industry sustainably.

Hue aims for Net Zero: [2] Pioneering low-emission tourism

Hue aims for Net Zero: [2] Pioneering low-emission tourism

(VAN) The ancient capital of Hue has developed Net Zero tourism products and models, aiming to reduce carbon emissions and pioneer the establishment of Viet Nam's green tourism destination.

C.P. Viet Nam achieves 1.5 million trees milestone in long-term ESG strategy

C.P. Viet Nam achieves 1.5 million trees milestone in long-term ESG strategy

(VAN) C.P. Viet Nam has announced the successful completion of its goal to plant 1.5 million trees during the 2021-2025 period, a key milestone within company's long-term ESG strategy and its roadmap for emission reduction.

MAE establishes South - South Cooperation Working Group

MAE establishes South - South Cooperation Working Group

(VAN) This is an initiative of MAE aimed at creating a unified coordination mechanism to implement agricultural cooperation programs with developing countries.

Read more