Archive · 27 Jul 2026

India's Core Inflation Drops to Historic Low

India's Core Inflation Drops to Historic Low

India's economy has been growing, but something unusual is happening with prices.

Normally, when the economy grows fast, prices for things like food and fuel go up.

But in India, the prices for most things, except food, fuel, and gold, have been going down.

This special measure of prices, called 'refined core inflation,' was around 6% in early 2023 but dropped to 2.1% in the first part of 2026.

Even though it went up a little to 2.5% in June, it's still very low.

This is different from what usually happens when an economy grows.

Sources