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What is Inflation

Inflation

About Inflation

What is Inflation

Inflation can be defined as a persistent rise in the general price of goods and services of common or daily use — such as clothing, food, fuel, transport, etc — which results in an increase in the cost of living.
 
Inflation is the measure of change in average price of services and commodities, done at regular intervals. It indicates a decrease in the purchasing power of a unit of a nation’s currency as the products and services get more expensive. Basically, inflation is the difference between aggregate demand and aggregate supply of goods and services. When aggregate demand exceeds the supply
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Latest Updates on Inflation

MPC to look through West Asia shock if it's transitory: RBI Governor

Coordination with fiscal policy becomes critical amid 'supply shock as bad as it is', says Malhotra

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Updated On : 13 May 2026 | 10:53 PM IST

US consumer inflation rises 3.8% in April, highest since May 2023

In the 12 months through April, the CPI advanced 3.8 per cent . That was the biggest year-on-year increase since May 2023 and followed a 3.3 per cent rise in March

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Updated On : 12 May 2026 | 9:36 PM IST

Beyond appeals: Prices are the best way to change consumer behaviour

If the government allows prices to adjust swiftly in response to the changed supply situation, then people will automatically follow suit

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Updated On : 11 May 2026 | 10:41 PM IST

China's April producer inflation hits 45-month high on energy price shock

The producer price index (PPI) increased 2.8 per cent from a year earlier, National Bureau of Statistics (NBS) data showed

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Updated On : 11 May 2026 | 8:04 AM IST

FMCG firms bracing for another round of price increases amid inflation

Executives of FMCG makers, which have already gone for recent price hikes of around 3 to 5%, in latest earnings calls have indicated either ongoing price increases or readiness to raise prices further

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Updated On : 10 May 2026 | 10:52 PM IST

India's April consumer inflation likely rose to 3.8% on higher fuel costs

Indian companies raised prices of LPG, widely used as a cooking fuel in households, in March after the West Asia conflict disrupted energy supplies, an effect economists said likely carried into April

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Updated On : 08 May 2026 | 1:15 PM IST

Asia's heat waves spell double trouble for economies hit by oil price shock

Inflation accelerated to multiyear highs across much of Asia, latest figures showed, led by higher transport, logistics and utility costs

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Updated On : 08 May 2026 | 7:39 AM IST

India may consider lower inflation target, narrower band: RBI Deputy Guv

The government, after consultation with the RBI, has notified the inflation target framework for a five year period through March 31, 2031

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Updated On : 05 May 2026 | 6:41 PM IST

Hidden cost of war on wealth: Capital compounding may be less forgiving

Instead of panic, respond with preparedness; keep separate money pools of money for short-, medium-, and long-term needs

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Updated On : 30 Apr 2026 | 6:52 PM IST

Best of BS Opinion: India's FTA with New Zealand shows agile deal-making

From India's FTA strategy and Sun Pharma's global ambitions to LPG shortages, West Asia risks and Asean ties, here are the key insights from today's Opinion page

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Updated On : 29 Apr 2026 | 6:15 AM IST

Heatwaves, weak monsoon and oil surge may push India's inflation higher

This year's adverse weather conditions will likely push inflation above 5 per cent in the fiscal year beginning April 1, exceeding the RBI's projection of 4.6 per cent

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Updated On : 28 Apr 2026 | 7:40 AM IST

'Growth-inflation tradeoff likely to have shifted adversely for near term'

RBI MPC member flags adverse shift in growth-inflation balance, warns of rising policy risks amid global uncertainty and persistent inflation expectations

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Updated On : 26 Apr 2026 | 11:32 PM IST

Is India's inflation targeting sufficiently capturing the digital economy?

As digital payments reshape consumption patterns, questions arise over whether India's CPI-based inflation targeting adequately reflects real transaction prices in a rapidly evolving economy

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Updated On : 24 Apr 2026 | 6:10 PM IST
Updated On : 24 Apr 2026 | 12:00 AM IST

External debt and inflation within target: RBI governor Sanjay Malhotra

Malhotra further highlighted India's continued commitment to regulatory reforms and enhanced ease of access and operations for foreign investors

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Updated On : 23 Apr 2026 | 10:59 PM IST

India fiscal deficit may breach target, rise to 4.5% in FY27: BMI

Fitch warns India's fiscal deficit may exceed the FY27 target due to higher subsidies and policy support, while Moody's sees rising inflation and unemployment risks

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Updated On : 23 Apr 2026 | 12:12 AM IST

Margin concerns and high valuations may cap gains for Nestle India

Nestle India reported strong Q4 growth, but rising raw material costs, sustained ad spends and high valuations may limit upside despite volume-led gains

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Updated On : 22 Apr 2026 | 11:59 PM IST

India can sustain growth despite crude at $90-100 per barrel: Assocham

India can sustain economic growth despite crude prices in the $90-100 per barrel range, supported by strong consumption, infrastructure spending and macroeconomic resilience

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Updated On : 22 Apr 2026 | 6:48 PM IST

India's unemployment to tick up, inflation to rise in 2026: Moody's

Moody's Analytics projects India's unemployment rate to edge up to 7 per cent in 2026, while inflation may rise to 4.5 per cent, the highest among Asia-Pacific peers

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Updated On : 22 Apr 2026 | 4:42 PM IST

UK inflation rises to 3.3% in March as Iran war impact begins to hit

The British central bank is expected to keep borrowing costs on hold on April 30 at the end of its next scheduled Monetary Policy Committee meeting

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Updated On : 22 Apr 2026 | 12:10 PM IST