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Domestically, shopper worth inflation (CPI) eased to 1.7 per cent in FY26 down from 4.9 per cent in FY25, marking a multi-year low. The decline was pushed primarily by a pointy correction in meals costs, particularly greens, pulses and spices, supported by “beneficial” agricultural circumstances, improved provide administration and calibrated authorities interventions
India’s inflation panorama has turned decisively benign, with retail inflation following a pointy downward trajectory in FY26, led by a steep fall in meals costs and well timed coverage interventions, the Financial Survey 2025–26 stated.
Domestically, shopper worth inflation (CPI) eased to 1.7 per cent in FY26 down from 4.9 per cent in FY25, marking a multi-year low. The decline was pushed primarily by a pointy correction in meals costs, particularly greens, pulses and spices, supported by “beneficial” agricultural circumstances, improved provide administration and calibrated authorities interventions.
“Headline CPI inflation declined to 1.7 per cent, pushed primarily by corrections in vegetable and pulse costs, supported by beneficial farm circumstances, supply-side interventions, and a powerful base impact,” the survey stated.
In response to the survey, the sustained softening of meals inflation has performed a decisive function in knocking down headline inflation, reinforcing the significance of supply-side measures in sustaining worth stability.
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