India’s January Retail Inflation At 2.75%; CPI Base Year Revised To 2024

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Last Updated: 12th February 2026 - 05:32 pm

Summary:

India’s Consumer Price Index-based inflation stood at 2.75% in January 2026, remaining close to the Reserve Bank of India’s lower tolerance threshold. Food inflation came in at 2.13%. The government has also revised the CPI base year to 2024, adjusting category weights to reflect updated consumption patterns.

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Retail inflation, measured by the Consumer Price Index, rose to 2.75% in January 2026, according to data released by the Ministry of Statistics and Programme Implementation.

Inflation had started picking up in the final two months of 2025 after touching a low of 0.25% in October.

Food And Housing Inflation

The year-on-year inflation rate based on the All India Consumer Food Price Index stood at 2.13% in January.
Food prices in rural areas rose 1.96%, while urban food inflation was higher at 2.44%.
Housing inflation for January stood at 2.05%. Rural housing prices increased 2.39%, while urban housing inflation was recorded at 1.92%.

Base Year Shift To 2024

With the January data release, the CPI base year has been revised to 2024 from 2012. The revision aligns the index with updated household consumption patterns.
Under the revised structure, the weight of services has been increased, while the share assigned to food has been reduced.

Newly added items include rural housing, online media services, value-added dairy products, barley and related products, pen drives and external hard disks, attendant and babysitter services, and exercise equipment.
Items such as VCRs, DVD players, radios, tape recorders, second-hand clothing and coir products have been removed from the index.

The weight assigned to each category is based on official household expenditure surveys and reflects changes in consumer spending behaviour over time.

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