India inflation likely hit 18-month low in April

India's consumer inflation likely cooled to an 18-month low in April as rises in food and fuel prices moderated, keeping it below the Reserve Bank of India's upper tolerance limit for the second consecutive month, a Reuters poll of economists found.

Food inflation, which accounts for nearly half of the overall consumer price basket, was expected to have fallen again in April, as price rises of cereals and edible oils softened.

Inflation as measured by the annual change in the consumer price index (CPI), was forecast to have fallen to 4.80 per cent in April from 5.66 per cent in March, according to the median view from the May 8-9 Reuters poll of 53 economists.

Predictions ranged from 4.40 per cent to 5.80 per cent, with respondents expecting inflation to remain below the RBI's 6.00 per cent upper tolerance limit for the second consecutive month.