The Consumer Price Index (CPI)-based inflation for November cooled down further to 4.3 percent from a level of 5.52 percent.
The decline has been led by food inflation, which fell to 3.1 percent in November as against 5.59 percent in the previous month.
While rural inflation for November came in at 4.09 percent (5.52 percent in previous month), urban inflation stood at 4.69 percent (5.55 percent in October).
Economists do not see the RBI going in for any policy rate cut for now despite the cooling of retail inflation.