In a double setback to economy, sharp rise in food and fuel prices pushed country’s retail inflation to a 15-month high of 4.88 per cent in November, while industrial output (IIP) growth hit a three-month low of 2.2 per cent in October this year on account of sluggish growth in manufacturing and mining sectors, according to the Government data released by the Central Statistics Office on Tuesday.
RBI had flagged the upward pressure on inflation, including rising fuel prices and the increase in house rent allowance to Central Government employees.
Retail inflation was 3.63 per cent in November 2016, while the previous high was recorded at 5.05 per cent in August last year. Prices in protein-rich eggs shot to 7.95 per cent in November on annual basis, as against 0.69 per cent in the previous month. In the fuel and light segment, it was 7.92 per cent, as against 6.36 in October. For vegetables, it was 22.48 per cent in November. The inflation in the segment was only 7.47 per cent in October.