India, March 12 -- India's inflation rate rose in February even before the full impact of the Iran war shows on the world's fourth largest economy. However, it's still below the RBI's inflation target.

The Consumer Price Index (CPI), a measure of retail inflation, rose to 3.21% last month as against a revised 2.74% in January, according to government data on Thursday. That compares with the Reserve Bank of India's estimate of 2.1% in FY26, 4% in Q1 FY27 and 4.2% in Q2 FY27. The RBI's inflation target is set at 4% with a tolerance band of 2% to 6%.

Food inflation was at 3.47% in February as compared with 2.13% a month ago.

The ongoing Iran war-which has pushed crude oil prices to four-year highs-is certain to weigh on New Delhi's inflat...