India’s CPI inflation eased more than expected in Nov-22 to the lowest level in 11 months, coming in at 5.88%YoY

Download Report
Dec 12, 2022

Nov-22 CPI Inflation - Back in the range

 India’s CPI inflation eased more than expected in Nov-22 to the lowest level in 11 months, coming in at 5.88%YoY (Consensus: 6.40%, QuantEco Research: 6.12%) compared to 6.77% in Oct-22. Providing support, sequential momentum too eased by 11 bps, to mark the first contraction in CPI index in 10 months. From a big picture perspective, headline CPI inflation has eased by a sizeable 154 bps cumulatively over the last two months. Specifically, Nov-22 saw the attainment of RBI’s policy target band (of 2-6%) after a hiatus of 11 months, and a month prior than we had expected. For FY23, our expectations are in line with RBI’s FY23 projected CPI inflation of 6.7%.