Inflation India 2026
Average inflation: 4.5%
Inflation in 2026
Inflation is high at 4.5%, well above the ECB target.
Peak and Trough
The highest inflation was in August at 5.0%. The lowest inflation was in January at 3.8%.
- Highest month
- August: 5.0%
- Lowest month
- January: 3.8%
- Difference
- 1.2 percentage points
- Months with data
- 8 of 12
Historical Context
Inflation is around the 5-year average of 4.5%.
- 5-year average
- 4.5%
- 10-year average
- 4.8%
- All-time high (2010)
- 12.1%
- All-time low (2017)
- 2.5%
Trend
Over the period 2024-2026, inflation has remained relatively stable. Compared to 2025, inflation has risen by 1.7 percentage points.
- Change vs. previous year
- +1.7 percentage points
- Largest monthly swing
- June: +2.3 percentage points
ECB Target
Inflation is 2.5 percentage points 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 ₹104.50 next year at this inflation rate.
Multi-year trend
Monthly figures 2026
Month overview
| Month | Inflation | Difference vs. 2025 |
|---|---|---|
| January | 3.8% | +0.7 |
| February | 4.0% | +1.4 |
| March | 4.3% | +1.3 |
| April | 4.5% | +1.6 |
| May | 4.7% | +1.8 |
| June | 4.8% | +2.3 |
| July | 4.6% | +1.9 |
| August | 5.0% | +1.8 |
| Average | 4.5% |
Data source
Data from OECD. Last updated: 03/10/2026. Not all months available yet.