Indian inflation stays below central bank target

India's annual inflation stayed well below central bank targets for a third week in a row, data Friday showed, paving the way for an easing of monetary policy in the fast-growing economy.
The wholesale price index, India's closest watched cost-of-living monitor, showed annual inflation slowed to 3.52 percent for the week ended September 1, down from 3.79 percent a week earlier.
The inflation drop, in an economy which has been growing by over nine percent, was helped by falling prices of foods such as pulses and vegetables as well as some manufactured goods.
Inflation stood at 5.34 percent in the corresponding week a year ago.
The data marked a third week in a row that inflation was below the bank's medium term inflation target of four to 4.5 percent.