Inflation India 2018

Average inflation: 4.9%

Current Inflation

Inflation is high at 4.9%, well above the ECB target.

Peak and Trough

The highest inflation was in July at 5.6%. The lowest inflation was in June at 3.9%.

Highest month
July: 5.6%
Lowest month
June: 3.9%
Difference
1.7 percentage points
Months with data
12 of 12

Category Insights

The highest price increase was in Housing, water, electricity, gas and other fuels with an average of 7.3%. The lowest price increase was in Communication with an average of 0.5%.

Highest increase
Housing, water, electricity, gas and other fuels: 7.3%
Lowest increase
Communication: 0.5%

Historical Context

Current inflation is around the 5-year average of 4.9%.

5-year average
4.9%
10-year average
7.7%
All-time high (2010)
12.1%
All-time low (2017)
2.5%

Trend

Inflation has remained relatively stable. Compared to 2017, the difference is minimal (+2.4 percentage point).

Change vs. previous year
+2.4 percentage points
Largest monthly swing
July: +3.8 percentage points

ECB Target

Inflation is 2.9% above the ECB target of 2.0%. This means purchasing power is declining faster than intended.

Purchasing Power

At this inflation rate, purchasing power noticeably decreases. Without a salary increase, you can buy less with the same money.

What you could buy for €100 this year will cost approximately €104.90 next year at this inflation rate.

Multi-year trend

Monthly figures 2018

Inflation by category

Food and non-alcoholic beverages
1.3%
-3.6vs avg.
More details →
Alcoholic beverages, tobacco and narcotics
6.8%
+1.9vs avg.
More details →
Clothing and footwear
4.7%
-0.2vs avg.
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Housing, water, electricity, gas and other fuels
7.3%
+2.4vs avg.
More details →
Furnishings, household equipment and maintenance
5.0%
+0.1vs avg.
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Health
6.2%
+1.3vs avg.
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Transport
6.6%
+1.7vs avg.
More details →
Communication
0.5%
-4.4vs avg.
More details →
Recreation and culture
4.7%
-0.2vs avg.
More details →
Education
6.1%
+1.2vs avg.
More details →
Restaurants and hotels
4.4%
-0.5vs avg.
More details →
Miscellaneous goods and services
4.8%
-0.1vs avg.
More details →

Inflation differs per product group. Click on a category for the historical trend.

Month overview

Month Inflation Difference vs. 2017
January 5.1% +3.2
February 4.7% +2.1
March 4.4% +1.8
April 4.0% +1.8
May 4.0% +2.9
June 3.9% +2.8
July 5.6% +3.8
August 5.6% +3.1
September 5.6% +2.7
October 5.2% +2.0
November 4.9% +0.9
December 5.2% +1.2
Average 4.9%

Data source

Data from OECD. Last updated: 11/01/2026.

See also