Inflation India 2006
Average inflation: 5.8%
Current Inflation
Inflation is very high at 5.8%, far above the ECB target.
Peak and Trough
The highest inflation was in June at 7.3%. The lowest inflation was in January at 4.4%.
- Highest month
- June: 7.3%
- Lowest month
- January: 4.4%
- Difference
- 2.9 percentage points
- Months with data
- 12 of 12
Historical Context
Current inflation is 1.4% higher than the 5-year average of 4.4%. This approaches the highest level since records began (5.8% in 2006).
- 5-year average
- 4.4%
- 10-year average
- 4.3%
- All-time high (2006)
- 5.8%
- All-time low (2004)
- 3.8%
Trend
Inflation shows an upward trend. Compared to 2005, inflation has risen by +1.5 percentage point.
- Change vs. previous year
- +1.5 percentage points
- Largest monthly swing
- June: +4.0 percentage points
ECB Target
Inflation is 3.8% above the ECB target of 2.0%. This means purchasing power is declining faster than intended.
Purchasing Power
At this high inflation rate, purchasing power rapidly decreases. This has a major impact on households, especially without adequate salary increases.
What you could buy for €100 this year will cost approximately €105.80 next year at this inflation rate.
Multi-year trend
Monthly figures 2006
Month overview
| Month | Inflation | Difference vs. 2005 |
|---|---|---|
| January | 4.4% | 0.0 |
| February | 4.6% | +0.4 |
| March | 4.6% | +0.4 |
| April | 4.7% | -0.3 |
| May | 5.9% | +2.2 |
| June | 7.3% | +4.0 |
| July | 6.3% | +2.2 |
| August | 5.9% | +2.5 |
| September | 6.4% | +2.8 |
| October | 6.9% | +2.7 |
| November | 6.0% | +0.7 |
| December | 6.5% | +0.9 |
| Average | 5.8% |
Data source
Data from OECD. Last updated: 20/12/2025.