India's retail inflation edged up modestly in August, but economists and industry leaders believe the rise is temporary and unlikely to upset the country's broader price stability, partly due to recent GST reforms.
India's retail inflation, as measured by the Consumer Price Index (CPI), inched up marginally to 2.07 per cent in August 2025 on a year-on-year basis, according to data released by the Ministry of Statistics and Programme Implementation on Friday.
India's retail inflation, as measured by the Consumer Price Index (CPI), eased sharply to 1.55% in July 2025 on a year-on-year basis, marking the lowest level since June 2017, according to data released by the Ministry of Statistics and Programme Implementation on Tuesday.
The Reserve Bank of India (RBI) has revised its Consumer Price Index (CPI) inflation projection for the financial year 2025-26 downward to 3.1% for the financial year 2026 (FY26), a significant reduction from the 3.7 per cent forecast made in June.
According to the statistics ministry, the year-on-year inflation rate based on Consumer Price Index (CPI) for June was 2.10 per cent (provisional), a decline of 72 basis points in headline inflation from May 2025. It is the lowest year-on-year inflation since January 2019.
In a report, the bank said June 2025 retail inflation will be at 2.3 per cent, with the worst seems to be over for now. According to them, July figures would be the near-term bottom.
The average salary for a salaried position at constant prices (deducted by the monthly consumer price index) was 11,250 Shekels (USD 3,352), unchanged, compared to April 2024.
Consume price inflation in India which eased to an over six-year low in May (at 2.82 per cent) is seen declining further towards 2 per cent, perhaps even lower, by July, according to a report SBI Research.
Consumer Price Index (CPI) or year-on-year inflation for the month of May 2025 declined by 34 basis points to 2.82 per cent, the lowest year-on-year inflation after February 2019.
Retail inflation, or the Consumer Price Index (CPI), will continue to moderate to 3.0 per cent in May, a six-year low, mainly due to the sequential moderation in prices of cereals and pulses even as most other segments started to strengthen, according to a Union Bank of India (UBI) report.
The ongoing global tariff wars and the continued rise in gold prices will significantly impact the overall consumer price index (CPI) in the upcoming months, even if food prices remain stable, according to a report by the Union Bank of India (UBI).