Inflation based on wholesale prices shot up to a 14-month high of 4.43 per cent in May due to rising prices of petrol and diesel as well as vegetables. Wholesale Price Index (WPI)-based inflation had stood at 3.18 per cent in April and 2.26 per cent in May last year.

According to government data released today, inflation in food articles stood at 1.60 per cent in May 2018 against 0.87 per cent in the preceding month.

Inflation in ‘fuel and power’ basket rose sharply to 11.22 per cent in May from 7.85 per cent in April as the prices of domestic fuel increased in line with the rising global crude oil rates. Inflation in vegetables climbed to 2.51 per cent in May, with potato inflation at a peak of 81.93 per cent.

Price rise in fruits was in double digits at 15.40 per cent, while pulses saw a deflation of 21.13 per cent.

WPI inflation for March was revised upwards to 2.74 per cent from the provisional estimate of 2.47 per cent. May inflation at 4.43 per cent was at a 14-month peak. The previous high was in March 2017, when the WPI inflation stood at 5.11 per cent.

In its second monetary policy review for the fiscal, the Reserve Bank of India had earlier this month hiked the interest rate by 0.25 per cent -- the first hike in more than four years -- due to growing concerns about inflation stoked by rising global crude oil prices as well as domestic price increases.

Prices of Indian basket of crude surged from $66 a barrel in April to around $74 currently. Data released earlier this week showed that retail inflation jumped to a 4-month high of 4.87 per cent in May on costlier food items such as fruits, vegetables and fuel. RBI mainly takes into account retail inflation data while formulating the monetary policy.

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