India's retail inflation fell to 2.1% in June, the lowest since January 2019, primarily due to a drop in food prices.
The consumer price index-based inflation decreased from 2.82% in May to 2.1% in June, lower than economist estimates of 2.3%.
Food and beverage prices fell by 0.2% in June, led by a significant decline in vegetable inflation and pulses category.
Both urban and rural inflation declined in June, with experts predicting that the full-year CPI inflation is likely to undershoot RBI's estimate, potentially leading to another rate cut post-monsoon.