Retail Inflation Climbs to 5.54%, Highest This Year; All Eyes on October CPI Data
Inflation has risen every month in 2026, with food prices up 7.74% in September. October numbers are due on 12 November.
India's retail inflation rose to 5.54% in September 2026, up from 4.83% in August and the highest reading so far this year. The October figure is due from the Ministry of Statistics and Programme Implementation (MoSPI) on 12 November.
A steady climb
Consumer price inflation has risen every month since January, when it stood at 2.74%. Food has been the main driver, with food inflation reaching 7.74% in September.
For households, that means a bigger share of the monthly budget going to vegetables, pulses and other essentials. For the Reserve Bank of India, a reading well above the 4% target makes the case for keeping policy tight.
Other numbers to watch this week
- Forex reserves: India's reserves stood at $717.06 billion in the week to 30 October, down $2.69 billion. They had hit a record $785.71 billion in early September. New data comes on 13 November.
- Bank deposits: Deposit growth slowed to 16.7% for the fortnight to 16 October, from 17.8% two weeks earlier. That is still well above the long-term average of about 14.7%.
What to expect
The festive season in October and November typically pushes up demand for food and consumer goods, so economists will watch whether prices cooled or kept rising. A higher October print would add to pressure on borrowers already facing costlier loans.