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What is Inflation

Inflation

About Inflation

What is Inflation

Inflation can be defined as a persistent rise in the general price of goods and services of common or daily use — such as clothing, food, fuel, transport, etc — which results in an increase in the cost of living.
 
Inflation is the measure of change in average price of services and commodities, done at regular intervals. It indicates a decrease in the purchasing power of a unit of a nation’s currency as the products and services get more expensive. Basically, inflation is the difference between aggregate demand and aggregate supply of goods and services. When aggregate demand exceeds the supply
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Latest Updates on Inflation

Expedite WPI base year revision, says Parliamentary panel report

Committee asks DPIIT to align WPI with revised GDP, CPI and IIP series, and roll out producer price indices to improve price measurement and data accuracy

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Updated On : 24 Mar 2026 | 11:24 PM IST

No formal study on GST rate rationalisation's inflation impact: Govt

Government says no formal study has assessed GST rate rationalisation's inflation impact; GST revenue rose 8.1% in February, with rural consumption showing strong gains

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Updated On : 24 Mar 2026 | 12:22 AM IST

Retirement portfolio beyond FDs: Diversify for inflation, longevity risks

The entire retirement corpus will not be needed on day one, so it should be split into growth and income-generation buckets to manage inflation and longevity risks

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Updated On : 19 Mar 2026 | 9:56 PM IST

ECB holds rates as West Asia conflict clouds growth, inflation outlook

"The war in the Middle East...will have a material impact on near-term inflation through higher energy pricesm," the ECB said

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Updated On : 19 Mar 2026 | 8:02 PM IST

US Fed holds rates, signals one cut in 2026 despite higher inflation

Inflation, as measured by the Fed's preferred gauge, was expected to end the year at 2.7 per cent , not far below its current rate and higher than the 2.4 per cent projected in December

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Updated On : 19 Mar 2026 | 1:03 AM IST

Fewer episodes of rate hike in inflation target regime, says SBI report

SBI report says India has seen fewer instances of interest rate hikes since the flexible inflation targeting regime began, with the third five-year phase set to start next month

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Updated On : 16 Mar 2026 | 11:31 PM IST

WPI inflation at 11-month high of 2.13% in February, shows govt data

Factory-gate inflation rises to an 11-month high in February, driven by higher prices of primary goods and manufactured products, while fuel and power remain in deflation

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Updated On : 16 Mar 2026 | 10:51 PM IST

RBI's clarity of communication will be as critical as the policy itself

In inflation-targeting economies such as India, communication is a key instrument of monetary policy

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Updated On : 16 Mar 2026 | 10:39 PM IST

Statsguru: Economic strain in the shadow of rising West Asia conflict

Periods of major wars - both global and regional - have frequently aligned with spikes in India's inflation

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Updated On : 15 Mar 2026 | 10:36 PM IST

Stabilising the Indian economy: Why currency depreciation is a good idea

Inflation targeting plus floating exchange rate plus open capital account

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Updated On : 15 Mar 2026 | 10:29 PM IST

Costlier oil could lift inflation, slow India's growth in H1FY27: Fitch

Persistently high oil prices could push up retail inflation faster than expected and slow India's economic growth in the first half of FY27, Fitch Ratings said in its latest outlook

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Updated On : 13 Mar 2026 | 11:58 PM IST

February retail inflation rises to 3.21% from 2.74% in Jan on new series

CPI inflation increased by 47 basis points year-on-year in February, data showed

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Updated On : 12 Mar 2026 | 5:37 PM IST

Cooking gas crunch in India fuels inflation fear as Iran war widens

The gas crunch is rippling through the economy, raising fears about a spike in prices and a drop in output in some sectors

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Updated On : 12 Mar 2026 | 10:08 AM IST

Impact of rising crude prices on inflation won't be substantial: FM

Finance Minister Nirmala Sitharaman, in a written statement, said that the medium-term impact of global crude oil price rise on inflation would depend upon several factors

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Updated On : 09 Mar 2026 | 10:29 PM IST

Central banks across Europe face rising rate hike bets amid Iran war

The unusually sharp repricing came as major oil producers cut supply and fears grew of prolonged shipping disruptions, pushing crude above $119 a barrel its highest level since mid-2022

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Updated On : 09 Mar 2026 | 5:24 PM IST

China inflation hits 3 year high after holiday boost as oil shock looms

Core CPI, which excludes volatile items such as food and energy, hit 1.8 per cent - the highest since 2019

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Updated On : 09 Mar 2026 | 11:43 AM IST

India faces rupee, inflation risks from West Asia conflict: Moody's

Energy-importing regions in Asia and Europe would sustain the most immediate stress from $100-plus Brent crude

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Updated On : 06 Mar 2026 | 2:30 PM IST

Goldman Sachs warns Iran conflict could slow global growth, stoke inflation

Under its baseline forecast, Goldman expects oil prices to increase a bit further before moderating to $76 per barrel on average in the first quarter of 2026 and $65 in the fourth quarter

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Updated On : 05 Mar 2026 | 3:56 PM IST

Inflation to stay benign as growth momentum strengthens: RBI's Poonam Gupta

RBI Deputy Governor Poonam Gupta says retail inflation should remain benign, while India's underlying growth trend has steadily accelerated over four decades amid resilient macro fundamentals

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Updated On : 24 Feb 2026 | 10:21 PM IST

New CPI series unlikely to reset inflation target framework: RBI guv

FY27 Q1-Q2 inflation forecast may be raised 20-30 bps, says MPC member Saugata Bhattacharya

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Updated On : 23 Feb 2026 | 11:56 PM IST