Inflation India 2023

Average inflation: 5.6%

Current Inflation

Inflation is very high at 5.6%, far above the ECB target.

Peak and Trough

The highest inflation was in July at 7.5%. The lowest inflation was in May at 4.4%.

Highest month
July: 7.5%
Lowest month
May: 4.4%
Difference
3.1 percentage points
Months with data
12 of 12

Historical Context

Current inflation is around the 5-year average of 5.9%.

5-year average
5.9%
10-year average
5.4%
All-time high (2010)
12.1%
All-time low (2017)
2.5%

Trend

Inflation has remained relatively stable. Compared to 2022, the difference is minimal (-0.3 percentage point).

Change vs. previous year
-0.3 percentage points
Largest monthly swing
May: -2.6 percentage points

ECB Target

Inflation is 3.6% 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 €105.60 next year at this inflation rate.

Multi-year trend

Monthly figures 2023

Month overview

Month Inflation Difference vs. 2022
January 6.2% +0.4
February 6.2% +1.2
March 5.8% +0.4
April 5.1% -1.2
May 4.4% -2.6
June 5.6% -0.6
July 7.5% +1.7
August 6.9% +1.0
September 4.7% -1.8
October 4.5% -1.6
November 5.0% -0.4
December 4.9% -0.6
Average 5.6%

Data source

Data from OECD. Last updated: 20/12/2025.

See also