According to data released by Central Statistics
Office (CSO), the retail inflation for the month of February has increased to
2.57% as against 2.05% in January.
Retail inflation is based on the Consumer Price
Index (CPI). It reflects changes in the retail prices of specified goods and
services over a time period which are traded by particular consumer group.
There are four types of CPI: a) CPI-IW (Industrial Worker), b) CPI-UNME (Urban
Non-Manual Employees), c) CPI-AL (Agricultural Labourers) and d) CPI-RL (Rural
RBI has adopted CPI as the key measure for
determining inflation situation of Indian economy, on recommendation of Urjit
Index of Industrial Production (IIP) decreased
to 1.7% in January 2019 compared to 2.4% in December 2018. IIP measures
industrial output growth. IIP is a composite indicator that measures changes in
the volume of production of a basket of industrial products.