India's Retail Inflation Reaches 4-Month High at 5.69% in December
Retail Inflation | Wholesale Inflation | |
---|---|---|
Definition | The rate at which the general level of | The rate at which the wholesale prices of |
prices for goods and services rises, | goods in bulk or at the wholesale level | |
affecting the purchasing power of | increase or decrease over a given period | |
consumers | ||
Measurement | Consumer Price Index (CPI) | Wholesale Price Index (WPI) |
Basket of Goods | Includes essential goods and services | Includes goods at the wholesale level, |
purchased by consumers | excluding taxes and retail margins | |
Components | Food, housing, transportation, healthcare, | Primary articles, fuel and power, |
education, etc. | manufactured products | |
Importance | Directly impacts consumers’ cost of | Provides insights into inflationary |
living and purchasing power | pressures faced by producers and businesses | |
Impact | Higher inflation reduces purchasing power | Higher wholesale inflation may lead to |
and can affect economic growth increased costs for businesses and | ||
potentially higher retail prices for goods | ||
Policy Considerations | Central banks often use retail | Wholesale inflation data is used by the |
inflation to guide monetary policy | government and policymakers to monitor | |
decisions, such as interest rates | overall price trends and make informed | |
decisions regarding economic policies |
Key Information | |
---|---|
Definition | An index that measures the |
performance of various | |
industrial sectors in the | |
Indian economy | |
Calculated by | Central Statistical |
Organisation (CSO) | |
Frequency | Monthly |
Latest Update (May 2023) | IIP growth: 5.2% |
Base Year | 2011-12 |
Core Industries Represented | Eight core sectors |
Core Industries (Weight in IIP) | |
Coal | 10.33% |
Electricity | 19.85% |
Crude oil | 8.98% |
Cement | 5.37% |
Natural gas | 6.88% |
Steel | 17.92% |
Refinery products | 28.04% |
Fertilizers | 2.63% |
Total | 100% |
Base Year Revisions | 9th revision since 1950 |
First base year: 1937 | |
Items Introduced (Examples) | Refined palm oil, surgical |
accessories, cement clinkers | |
Items Removed (Examples) | Chewing tobacco, toothbrush, |
calculators, fans, watches, | |
pens |
Weekly Current Affairs One-Liners Current Affairs 2025 plays a very important role in the competitive…
Coffee is one of the most loved drinks in the world. People enjoy it in…
India is a land of rich natural beauty, with many different types of forests. Among…
Patna is a well-known city in India with a long and rich history. It is…
The Madhya Pradesh government has launched a new initiative offering monthly stipends to unemployed youth—₹6,000…
During his UK visit in July 2025, Prime Minister Narendra Modi presented a tree sapling…