India's retail inflation has declined from an average of 7.1% in April-October 2022 to 5.4% in the corresponding period of 2023. The retail inflation is now stable and within the notified tolerance band of 2% to 6%. The core inflation rate has declined from 5.1% in April 2023 to 4.3% in October 2023. Temporary increases in inflation on a few occasions are caused by demand-supply mismatches arising out of global shocks and adverse weather conditions.