New Delhi [India], June 12 : Consumer Price Index (CPI) or year-on-year inflation for the month of May 2025 declined by 34 basis points to 2.82 per cent, the lowest year-on-year inflation after February 2019.
A sharp decline of 79 basis points is observed in food inflation in May compared to April 2025. The food inflation in May 2025 is the lowest after October 2021.
The significant decline in inflation is mainly because of decline in prices of Pulses & products, Vegetables, Fruits, Cereals & products, Households goods & services, Sugar & confectionary and Egg and the favourable base effect.
Headline inflation in rural sector is observed at 2.59 per cent in May, 2025 as compared to 2.92 per cent in April 2025. Whereas the headline Urban inflation decline from 3.36 per cent in April to 3.07 per cent in May.
Housing inflation for May was observed at 3.16 per cent as compared with 3.06 per cent in April.
Inflation in education was observed at 4.34 per cent in May as compared with 4.13 per cent in April. Combined Health inflation for urban and rural areas in May was recorded at 4.34 per cent in May versus 4.25 per cent in April.
Combined transport and communication sector inflation for rural and urban areas also rose from 3.67 percent in April to 3.85 percent in May 2025.
The combined fuel and light inflation was, however, recorded lower at 2.78 per cent in May as compared with 2.92 per cent in April.
The price data for collating the CPI figures are collected from 1114 urban Markets and 1181 villages covering all States/UTs through personal visits by field staff of the Field Operations Division of NSO, MoSPI on a weekly roster.
During the month of May 2025, NSO collected prices from 100 per cent of villages and 98.6 per cent of urban markets, while the market-wise prices reported therein were 88.9 per cent for rural and 92.7 per cent for urban areas.
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