12.09.202510:41:48UTC+00India Inflation Rate Rises in August

In August 2025, India's consumer price inflation saw an uptick to 2.07%, rising from a revised 1.61% recorded in July, aligning largely with market predictions. This represents the first monthly inflation rise in ten months, although it remains close to the Reserve Bank of India's lower tolerance margin of 2% as per its inflation-targeting framework. Food prices, which account for nearly half of the Consumer Price Index (CPI) basket, decreased by 0.69%, a less pronounced drop compared to July's 1.76% decline. Inflation showed an increase for categories such as pan, tobacco, and intoxicants (up to 2.49% from 2.45%), and miscellaneous items (rising slightly to 5.05% from 5.01%). Meanwhile, costs in other sectors rose at a slower rate for clothing and footwear (dipping to 2.33% from 2.50%), housing (slight decrease to 3.09% from 3.17%), and fuel and light (reducing to 2.43% from 2.67%).