More Stories

Informist, Monday, Jul. 13, 2026

 

Please click here to read all liners published on this story

--India Jun CPI inflation 4.38%
--India Jun CPI inflation 4.38% vs 3.93% May
--Informist Poll estimated India Jun CPI inflation at 4.3%
--India Jun CPI food inflation 5.32% vs 4.78% May
--India Jun CPI rural inflation 4.74% vs 4.25% May
--India Jun CPI urban inflation 3.92% vs 3.53% May
--India Jun CPI food and beverages inflation 5.05% vs 4.55% May
--India Jun CPI 'paan, tobacco, and intoxicants' inflation 4.83% vs 4.83% May
--India Jun CPI clothing and footwear inflation 3.23% vs 2.98% May
--India Jun CPI housing and utilities inflation 1.99% vs 1.73% May
--India Jun CPI furnishings, household equipment inflation 2.19% vs 1.89% May 
--India Jun CPI health inflation 1.42% vs 1.49% May
--India Jun CPI transport inflation 4.31% vs 1.75% May
--India Jun CPI information and communication inflation 0.43% vs 0.30% May
--India Jun CPI 'recreation, sport, and culture' inflation 1.75% vs 1.98% May
--India Jun CPI educational services inflation 3.34% vs 2.99% May
--India Jun CPI restaurants, accommodation svcs inflation 6.91% vs 5.75% May
--India Jun CPI personal care and miscellaneous inflation 16.72% vs 18.46% May 
--India Jun CPI general index up 1.03% on month
--India Jun CPI food price index up 1.71% on month
--India Jun CPI core inflation 4.1% vs 3.8% May
--India Jun CPI inflation of 4.38% highest in 18 months

 

NEW DELHI – India's headline inflation rose to an 18-month high in June, above the Reserve Bank of India's medium-term target of 4%, because of higher food, fuel, and personal care inflation, data released Monday by the statistics ministry showed. Retail inflation, based on the CPI, rose to 4.38% on year in June from 3.93% in May.

 

The June inflation print was largely in line with economists' expectations. Economists polled by Informist saw CPI inflation at 4.3% in June. Retail inflation was 2.31% in June last year, based on the new CPI series with 2024 as the base year.

 

The food price index was up 1.71% on month in June, which led to a 1.03% month-on-month rise in the general index from May. Food inflation rose to 5.32% on year from 4.78% in May. Core inflation, which excludes food and fuel items, rose to 4.1% in June from 3.8% in May.

 

Food and beverages inflation rose 5.05% in June from 4.55% in May. "Inflation in food and beverages crossed the 5% mark for the first time in the new CPI series in June 2026, amidst the steep rainfall deficit of 40%," Aditi Nayar, chief economist at ICRA Ltd., said in a note. "Retail food prices have continued to harden sequentially in July 2026, reflecting the typical seasonal trends." As of Sunday, data from the India Meteorological Department showed India had received 219.4 millimetres of rain, 18?low the normal for the period.

 

At 4.38%, India's retail inflation has exceeded the RBI's medium-term target for the first time in 17 months. With the latest inflation figure, the average CPI inflation for the June quarter is 3.93%. This is lower than the central bank's projection of 4.2% for the quarter. The June CPI inflation data will be the last before the RBI's Monetary Policy Committee meets next between Aug. 3 and Aug. 5.

 

ICRA expects the committee to maintain status quo on the policy rate in its upcoming meeting. "While the material easing in crude oil prices has reduced the likelihood of an early rate hike, the renewal of tensions in West Asia warrants some caution," Nayar said. "Any rate hike is likely to be back ended in the fiscal."

 

In June, rural inflation, at 4.74%, was higher compared to urban inflation at 3.92%. In May, rural inflation was 4.25% and urban inflation was 3.53%.

'Electricity, gas, and other fuel' inflation jumped to 1.75% in June from 0.81% in May, reflecting the impact of the hike in price of liquefied petroleum gas in the aftermath of the war in West Asia. Transport inflation rose 4.31% in June from 1.75% in May while restaurants and accommodation services inflation grew 6.91% last month from 5.75% in May. "The non-food component may also exert pressure on the headline CPI print in the month, partly owing to the passthrough of higher fuel prices into prices of other items," Nayar said. ICRA sees CPI inflation hardening to around 4.6% in July.

 

The personal care and miscellaneous inflation segment rose the most at 16.72% in June. However, it moderated from 18.46% in May. Of the top five items experiencing high inflation, silver jewellery inflation was 133.21% in June, down from 155.25% in May. Gold, diamond, and platinum jewellery inflation also slipped to 36.82% in June from 40.91% a month ago.

 

Among states and Union territories, Telangana, Andhra Pradesh, Puducherry, and Tamil Nadu reported the highest inflation in June at 6.36%, 5.39%, 5.39%, and 5.24%, respectively. Mizoram at 1.63% and Tripura at 1.65% reported the lowest inflation.

 

	Weight	Index for June	Month-on-month change (in %)	Inflation for June	Inflation for May
Food and beverages	36.75	106.98	1.6	5.05%	4.55%
Paan, tobacco, and intoxicants	2.99	107.94	0.2	4.83%	4.83%
Clothing and footwear	6.38	107.97	0.5	3.23%	2.98%
Housing, water, electricity, gas, and other fuels	17.67	103.54	0.4	1.99%	1.73%
Furnishings, household equipment, and routine household maintenance	4.47	104.8	0.5	2.19%	1.89%
Health	6.1	104.51	0.2	1.42%	1.49%
Transport	8.8	105.45	2.6	4.31%	1.75%
Information and communication	3.61	104.02	0.2	0.43%	0.30%
Recreation, sport, and culture	1.52	104.36	0.2	1.75%	1.98%
Education services	3.33	107.52	1.2	3.34%	2.99%
Restaurants and accommodation services	3.35	111.46	1.4	6.91%	5.75%
Personal care, social protection, and miscellaneous goods and services	5.04	124.71	(- )0.7	16.72%	18.46%
Consumer Food Price Index	34.78	107.15	1.7	5.32%	4.78%
All India	100	107	1.0	4.38%	3.93%

Source: Ministry of Statistics and Programme Implementation.

 

End

 

Reported by Shweta

Edited by Rajeev Pai

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (11) 4220-1000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2026. All rights reserved.