India’s retail inflation cooled further in April 2025, with the Consumer Price Index (CPI)-based inflation dropping to 3.16% year-on-year—the lowest reading in nearly six years. The decline was primarily driven by easing food prices and softening rural inflation. This marks a notable improvement from 3.34% in March 2025, strengthening expectations that inflationary pressures are firmly under control heading into mid-year.
Key Highlights:
-
CPI Inflation (YoY, Combined):
April 2025: 3.16% (↓ 18 bps from March’s 3.34%)
Lowest since July 2019 -
Food Inflation (CFPI, YoY, Combined):
April 2025: 1.78% (↓ 91 bps from March’s 2.69%)
Lowest since October 2021 -
Urban Inflation:
Headline: 3.36% (March: 3.43%)
Food: 1.64% (March: 2.48%) -
Rural Inflation:
Headline: 2.92% (March: 3.25%)
Food: 1.85% (March: 2.82%)
Category-wise YoY Inflation (Combined):
| Category | April 2025 (%) | March 2025 (%) |
|---|---|---|
| CPI (General) | 3.16 | 3.34 |
| CFPI (Food) | 1.78 | 2.69 |
| Housing | 3.00 | 3.03 |
| Education | 4.13 | 3.98 |
| Health | 4.25 | 4.26 |
| Transport & Comm. | 3.73 | 3.36 |
| Fuel & Light | 2.92 | 1.42 |
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