India’s Retail Inflation Hits 8-Year Low At 1.55% In July 2025 | Economy News


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India’s retail inflation, based on CPI, declined to 1.55 percent in July 2025, the 8-year low. The CPI-based inflation was also 2.10 percent in May 2025.

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CPI July Data 2025

CPI July Data 2025

CPI In July 2025: India’s retail inflation, based on the Consumer Price Index (CPI), declined to 1.55 per cent in July 2025, according to the latest official data released on Tuesday, August 12, 2025. This is down from 2.10% in June 2025 and marks a 55-basis-point drop month-on-month.

It is the lowest inflation print after June 2017. 

The CPI-based inflation had stood at 2.10 per cent in May 2025.

(CPI In July 2025)

Food inflation, measured by the Consumer Food Price Index (CFPI), slipped further into negative territory at -1.76% in July, compared to -1.01% in June. The decline was largely led by lower prices of pulses, vegetables, cereals, eggs, sugar, and transport costs. The July food inflation reading is the lowest since January 2019.

Rural inflation stood at 1.18% in July, down from 1.72% in June, while urban inflation eased to 2.05% from 2.56% in the same period. Housing inflation was largely steady at 3.17%, education inflation moderated to 4% from 4.37%, and health inflation inched up to 4.57% from 4.38% a month earlier.

Among key states, Kerala recorded the highest combined inflation at 8.89%, followed by Jammu & Kashmir (3.77%), Punjab (3.53%), Karnataka (2.73%) and Maharashtra (2.28%).

Transport and communication inflation dropped to 2.12% in July from 3.90% in June, while fuel and light inflation rose slightly to 2.67% from 2.55%.

Year-on-year Fuel & light inflation rate for the month of July, 2025 is

2.67% (Provisional). Corresponding inflation rate for the month of June, 2025 was 2.55%. It is combined inflation rate for both rural and urban sector.

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Varun Yadav

Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst…Read More

Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst… Read More

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