The planned step gains importance as retail inflation has begun rising once more. Mainly due to elevated food costs, CPI-based retail inflation increased to 4.38% in June from 3.93% in May, exceeding the Reserve Bank of India’s medium-term goal of 4% for the first time since January 2025. It was also the initial figure above the target under the updated CPI series that uses January 2026 as the new base year.
