In December, the Wholesale Price Index (WPI)-based inflation increased to 0.73%, primarily driven by a significant surge in food prices. The WPI inflation had remained in the negative zone from April to October but turned positive in November, registering at 0.26%.
In December, inflation soared in vegetables at 26.30%, and pulses experienced a 19.60% increase.
The Consumer Price Index (CPI) for the same month marked a four-month high at 5.69%, as revealed in recently released data.
Last month, the Reserve Bank, in its bi-monthly monetary policy, kept interest rates unchanged, cautioning about the growing risks of food inflation in November and December.
The figures underscore the challenges in managing inflationary pressures, prompting vigilance from financial authorities.
