India's retail inflation has dipped to 4.31%, a five-month low, in January 2025, according to the data released by the National Statistics Office (NSO) on Wednesday( 12 February), marking a substantial drop from 5.22% in December 2024 and 5.1% in January 2024.

• This decline can be attributed to decreasing food costs.
• The said data showed a drop of 91 basis points in headline inflation when compared to December 2024, marking the lowest year-on-year (Y-O-Y) inflation since August last year.
• The food inflation stood at 6.02% as compared to 8.39% which was recorded in December 2024.
• The items which recorded the highest Y-O-Y inflation are coconut oil (54.20%), potato (49.61%), coconut (38.71%), garlic (30.65%), and peas (30.17%).