ndia’s consumer price inflation eased to 0.25% in October 2025, down from a revised 1.44% in September—its lowest level on record and far below market expectations of a slowdown to 0.48%. This marked the ninth straight month that inflation remained under the Reserve Bank of India’s 4% target and the third month in a row below the lower tolerance band of 2%, intensifying calls for further rate cuts by the central bank.
Food prices, which make up nearly half of the consumer basket, dropped by 5.02% year-on-year, the steepest decline ever recorded, supported by favorable weather that boosted output of vegetables, cereals, and pulses. Goods inflation also eased following the GST rate rationalization in September. Inflation for housing slowed to 2.96%, while housing and light remained below the 2% mark at 1.98%. On a monthly basis, consumer prices in India rose by 0.15%.
