India’s CPI inflation eased sharply to 1.54% YoY in September compared to 2.07% in August, driven by persistent cooling in food prices and a favorable base effect. This marks the lowest inflation level since June 2017 and was slightly below Bloomberg’s consensus estimate of 1.65%. The food basket slipped back into deflation, contracting by 1.37% in September, led by declines in vegetables, oils and fats, fruits, pulses, cereals, and eggs.
