In November, retail inflation based on the Consumer Price Index (CPI) was at 4.38 percent -- the lowest level since government started computing the new series of data in January 2012.
In December 2013, retail inflation was at 9.87 percent.
Despite surge in retail inflation, analysts expect that RBI may ease interest rate in its February monetary policy review. RBI is scheduled to announce its sixth bi-monthly monetary policy on February 3.
Food inflation rose to 4.78 percent in December 2014, from 3.14 percent in previous month, showed the official data which was released on Monday.
Retail prices of vegetables increased by 0.58 percent as against a decline of 10.9 percent in November. Fruits were costlier by 14.84 percent, while the rate of price rise for the same was at 13.74 percent in previous month.
Category under food and beverages witnessed a rise of 5 percent in December, over 3.5 percent in previous month.

Inflation in protein-rich items like eggs, fish and meat was down at 5.24 percent in December, from 6.48 percent in the previous month.
Also, prices of oil and fats declined by 1.24 percent in December over a decline of 0.83 percent in November.
The factory output, as measured by the Index of Industrial Production (IIP), had declined by 1.3 percent in the same month of 2013.
The revised figure for October last year remained unchanged, a contraction of 4.2 percent, according to the data released by Central Statistics Office today.
For the April-November period of the 2014-15 fiscal, IIP is up 2.2 percent, as against 0.1 percent in same period of last fiscal.
Manufacturing output, which constitutes over 75 percent to the index, grew by 3 percent in November, compared to a dip of 2.6 percent in the same month a year ago.
For April to November, the sector saw an output growth of 1.1 percent, compared to a contraction 0.4 percent in the year-ago period.
Output of the mining sector grew by 3.4 percent in November, compared to a growth of 1.6 percent. During the April-November period, the production has grown by 2.5 percent, compared to a contraction of 2.1 percent during the first eight months of last fiscal.
The production of capital goods, a barometer of demand, grew by 6.5 percent in November, as against a growth of 0.1 percent in same month of last year.
During the April-November period, capital goods output grew by 4.9 percent as against a dip in production by 0.1 percent.
Overall, 16 of the 22 industry groups in manufacturing showed positive growth in November.

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