Marking a comprehensive overhaul of the inflation gauge in over a decade, Ministry of Statistics & Programme Implementation released Consumer Price Index (CPI) with Base 2024=100. The provisional data showed that all India CPI with base year 2024 stood at 2.75% for the month of January, 2026 over January, 2025. Corresponding inflation rates for rural and urban stood at 2.73% and 2.77%, respectively. The retail inflation has remained below the Reserve Bank of India’s 4% medium-term target -- set within a tolerance band of ±2 percentage points (2%-6%). Meanwhile, for December 2025, final figures for CPI with base 2012=100 series, remained unchanged at 1.33% compared to provisional estimation last month.

Besides, all India Consumer Food Price Index (CFPI) stood at 2.13% (Provisional) for the month of January, 2026 over January, 2025. Corresponding inflation rates for rural and urban stood at 1.96% and 2.44%, respectively. Moreover, Housing inflation rate stood at 2.05% (Provisional) for the month of January, 2026 and the corresponding inflation rates for rural and urban stood at 2.39% and 1.92%, respectively. The index value for CPI and CFPI stood at 104.46 and 104.04, respectively, for January 2026.

Top five items with low inflation at All India combined level in January, 2026 were Garlic at (-) 53.05%, Onion at (-) 29.27%, Potato at (-) 28.98%, Arhar, Tur at (-) 24.90%, and Peas at (-) 15.56%. Top five items with high inflation at All India combined level in January, 2026 were Silver Jewellery at 159.67%, Tomato at 64.80%, Coconut: copra at 47.18%, Gold/Diamond/Platinum Jewellery at 46.77%, and Coconut oil at 40.44%. 

The CPI series with base year 2024=100 has been introduced to ensure that the index remains representative of current household consumption patterns, price structures, and the evolving nature of the Indian economy. The previous CPI series with base 2012=100 served as a stable and reliable measure for more than a decade; however, during this period, significant structural changes have occurred in consumption behaviour, income levels, urbanisation, expansion of the services sector, and digitalisation. The base updation exercise has been undertaken on the basis of the latest Household Consumption Expenditure Survey (HCES) 2023–24, which provides comprehensive information on household expenditure patterns across rural and urban areas of the country.

At the all-India level, the number of weighted items has increased from 299 to 358 in CPI 2024. Within these goods items are increased from 259 to 308 and services items are increased from 40 to 50. This expansion strengthens the representation of the services sector, which has assumed greater importance in household expenditure over time. Key enhancements are first-time inclusion of rural house rent for improving coverage of rural housing consumption, strengthened representation of modern consumption items such as online media services and fuels (CNG/PNG), and improved coverage of data available on digital and administrative sources, including telephone charges, rail fare, air fare, fuel, postal charges and online media and streaming services (OTT subscriptions).