Retail inflation quickens to 2.1% in August 2025, ending nine-month declining trend
India's retail inflation rose to 2.1% in August 2025, breaking a nine-month downward trend. This figure is slightly higher than the 1.55% recorded in July 2025 but remains within the Reserve Bank of India's (RBI) comfort band of 2% to 6%. The data, released by the Ministry of Statistics and Programme Implementation (MoSPI), indicates that while food and beverage inflation remained relatively flat, categories like clothing, footwear, and fuel saw marginal increases. The historic low of 1.55% in July 2025 was the culmination of several months of falling prices, starting from November 2024.
Key Points
- Retail inflation ended its nine-month decline by rising to 2.1% in August.
- The current inflation rate remains well within the RBI's target range of 2% to 6%.
- Food and beverage inflation remained stable, while fuel and light categories saw a faster increase to 2.9%.
- The Ministry of Statistics and Programme Implementation (MoSPI) is the official source for this consumer price data.
Exam Facts
- RBI's inflation comfort band is 2%-6%.
- Retail inflation in August 2025 was 2.1%.
- The historic low in July 2025 was 1.55%.
- Data released by MoSPI.
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