India's wholesale price index rose 12.40 per cent for the week ended Aug. 16, below the previous week's annual rise of 12.63 per cent due to lower prices of some minerals and fuels, government data showed.

The rate below a median forecast of 12.82 per cent in a Reuters poll of analysts.

Inflation for the week ended June 21 was revised upwards to 11.91 percent from 11.63 percent. The annual inflation rate was 3.99 percent during the corresponding week of the previous year.

The wholesale price index is more closely watched than the consumer price index, which is published monthly, because it covers a higher number of products and is published weekly.