April 2025 Retail Inflation Eases to 3.16%

The All India Consumer Price Index (CPI) or retail inflation for the month of April 2025 eased to 3.16% compared to April 2024. This marks the lowest year-on-year inflation rate since July 2019, according to government data.

Notable Reduction in Food Inflation

The All India Consumer Food Price Index (CFPI) indicates a year-on-year inflation rate of 1.78% for April 2025, with rural areas recording 1.85% and urban areas showing 1.64%. This significant reduction of 91 basis points from March 2025 marks the lowest point since October 2021.

Key Factors Behind the Decline

The decrease in both headline and food inflation during April 2025 is primarily due to lower prices in essential categories such as Vegetables, Pulses & Products, Fruits, Meat and fish, Personal care and effects, and Cereals and Products.

Regional Variations

Rural areas saw a headline inflation rate decrease to 2.92% in April 2025 from 3.25% in March 2025, while urban areas experienced a slight decrease from 3.43% to 3.36%. Housing inflation in urban areas slightly decreased to 3.00% from 3.03%, and Fuel & light inflation saw a significant increase to 2.92% from 1.42%.