FX.co ★ India Inflation Falls to Record Low

In October 2025, India's consumer price inflation rate declined to 0.25%, a decrease from the revised 1.44% recorded in the preceding month, marking the lowest level ever recorded. This figure fell well below market predictions, which anticipated a more modest reduction to 0.48%. This marks the ninth consecutive month that the inflation rate has remained under the Reserve Bank of India's target of 4%, and the third month in a row it has fallen below the 2% lower tolerance threshold, sparking discussions about the potential for further interest rate cuts by the central bank. Notably, food prices—constituting nearly half of the consumer basket's weight—plummeted by an unprecedented 5.02% annually, following a 2.33% decrease in the prior month. Additionally, inflation figures showed a reduction for housing at 2.96% and remained below the 2% level for the housing and utilities category at 1.98%. On a month-to-month basis, consumer prices in India increased by 0.15%.